European Stocks Rebound Amidst Trade Tensions: A Turbulent Week Ends

European stocks experienced a rebound on Friday, recovering slightly from a volatile week marked by erratic tariff changes. The pan-European STOXX 600 saw a 0.5% increase after significant declines. Regional indexes in Germany, Spain, France, and the UK also rose, reflecting temporary relief as U.S. tariff measures were paused.

European stocks closed higher on Friday, marking a respite from a tumultuous week marred by inconsistent tariff policies from the U.S. and its partners that threatened economic stability.

The STOXX 600 index rose by 0.5% by 0719 GMT after experiencing steep losses, rebounding as President Trump's temporary suspension of certain tariffs brought temporary relief. The index remains on track for a third consecutive weekly decline.

While regional indexes in Germany, Spain, France, and the UK rose, the temporary pause has European Union finance ministers evaluating negotiation tactics. In contrast, trade tensions between the U.S. and China further intensified with increased tariffs. Notable stock movements included Zurich Insurance falling 5.4% and Stellantis dropping 2.2%.

(With inputs from agencies.)