Market Turmoil as Trump Targets Fed and Novo Nordisk Dives

European shares dropped with a notable decline from Novo Nordisk due to competition from Eli Lilly's new drug. President Trump's criticism of Fed Chair Jerome Powell further unsettled markets amid trade war fears. Meanwhile, Biotage shares saw a massive surge following a cash offer from KKR.

European stocks faced significant setbacks on Tuesday, driven by a steep decline in shares of major pharmaceutical company Novo Nordisk.

The downturn was sparked by competition from Eli Lilly, whose experimental drug showed promising results against Novo's Ozempic in trials. Meanwhile, investor nervousness was compounded by President Trump's renewed criticisms of Federal Reserve Chair Jerome Powell, pushing for a rapid interest rate cut.

The turmoil extended to Wall Street, with added concerns over U.S. tariffs exacerbating market unease. However, Swedish company Biotage saw its shares soar with a lucrative cash offer from KKR, valuing the biotech firm at SEK 11.6 billion.

(With inputs from agencies.)