UPDATE 1-London stocks fall after Trump issues tariff threat; Beazley hits record high

London shares fell on Monday as U.S. President Donald Trump's tariff threats against Britain and seven other European nations ⁠sent shockwaves through global markets, though a bright spot emerged as insurer Beazley surged to a record high on a sweetened takeover bid from Zurich Insurance. The blue-chip FTSE 100 finished 0.4% lower.

London shares fell on Monday as U.S. President Donald Trump's tariff threats against Britain and seven other European nations ⁠sent shockwaves through global markets, though a bright spot emerged as insurer Beazley surged to a record high on a sweetened takeover bid from Zurich Insurance.

The blue-chip FTSE 100 finished 0.4% lower. The domestically focused mid-cap index fell 0.9%, marking its ​steepest one-day decline since late November. Trump said on Saturday he would impose an additional 10% tariff on goods ‍from Denmark, Norway, Sweden, France, Germany, the Netherlands, Finland and Britain starting February 1. Those tariffs would climb to 25% by June 1 unless the U.S. was allowed to buy Greenland.

The announcement unsettled global markets, with volatility returning to trading floors. Major EU states condemned the tariff ⁠threats as ‌blackmail, and France proposed responding ⁠with a range of previously untested economic countermeasures.

British Prime Minister Keir Starmer, meanwhile, called for calm discussions to resolve the stand-off. The tariff threats also ‍cast a shadow over trade deals the U.S. struck with Britain in May and the EU in July. Both limited agreements ​have already drawn criticism for their lopsided nature, favouring Washington.

Losses rippled across London's stock market, with automobiles and ⁠parts subindex sliding 1.8% lower. Luxury retailers too bore the brunt, with Burberry and Watches of Switzerland Group leading the losses with falls of 2.8% and ⁠2.3%, respectively.

However, the non-life insurance sector provided a bright spot, cushioning the FTSE 100 from broader investor nerves. Beazley soared 42.9% to a record high after Zurich Insurance Group offered 1,280 pence per share for the British speciality ⁠insurer. Peers Hiscox and Lancashire also rose 9.1% and 4%, respectively.

Moreover, precious-metal miners surged 3.1% as gold and silver hit record ⁠highs amid a flight ‌to safety. Among other movers, WH Smith jumped 11% after the travel retailer named ex-Balfour Beatty chief Leo Quinn as executive chair, replacing Annette Court in a leadership shake-up aimed at ⁠reviving the business and restoring investor confidence.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)