European Stocks Rebound Amid Trade War Tensions

European shares climbed from 14-month lows following heavy selling sessions amid tariff-related concerns. The STOXX 600 rose, with defensive stocks and lenders gaining. Tensions persist as the EU proposes counter-tariffs and debates economic impacts of U.S. tariffs. Key players like ASML and Siemens supported gains.

European shares regained ground from 14-month lows on Tuesday after enduring four consecutive sessions of significant declines, with investor sentiment remaining fragile due to ongoing tariff-related uncertainties.

The pan-European STOXX 600 rose 1.1% by 0748 GMT, bouncing back from a 12.1% loss over the past four sessions. This drop had stemmed from fears of a looming global recession sparked by the trade war escalation. The index had previously plunged 17.9% from its peak on March 3.

Germany's benchmark index saw a 1.1% increase after avoiding a confirmation of a bear market the previous day. Defensive stocks, which have performed well this year, surged by 3.3%, while banks, previously pressured by growth concerns, rose by 1%. On the corporate front, ASML and Siemens posted gains, contributing significantly to index support, amidst China's refusal to yield to U.S. 'blackmail', as the trade war shows no signs of easing.

(With inputs from agencies.)