European Stocks Waver Amid New U.S. Tariff Uncertainty

European shares fell amid trade uncertainties as President Trump announced new tariffs. Germany's DAX led the decline, and tech and industrials also saw decreases. While trade tensions rose, banks gained. The Euro STOXX volatility index surged as market volatility increased.

European stocks experienced fluctuations on Monday following President Donald Trump's announcement of a new tariff policy, casting uncertainty over U.S. trade relations. The STOXX index dropped 0.27% by 0942 GMT, with Germany's DAX suffering the steepest fall at 0.4%.

Despite last week's optimism after the U.S. Supreme Court's repeal of previous tariffs, Trump's introduction of a 10% levy, later increased to 15%, has unsettled markets and raised questions over existing trade agreements. The European Commission has firmly dismissed any alterations to negotiated deals.

With trade tensions surrounding Greenland, as well as global security order disruptions by Washington, the Eurozone is securing ties with Asia and Latin America. Monday saw the technology and industrials sectors hit hardest, whereas bank shares showed resilience. Meanwhile, the Euro STOXX volatility index saw an uptick, reflecting investor apprehension.

(With inputs from agencies.)