European stocks rise as Trump tariffs are temporarily reinstated
A Federal appeals court temporarily blocked a ruling from the Court of International Trade that barred most of the Trump administration's sweeping tariffs on global trading partners. The legal development reignited uncertainty, sparking renewed sell-offs in US stock markets. However, European markets rose on Friday despite the reinstatement.
The decision provides the White House with additional time to defend the legality of the president's efforts to reshape global trade relations. Federal officials signalled that the same level of import levies could be reintroduced under alternative legal authorities, although enacting tariffs via other sections of the Trade Act could take several months.
'I can assure the American people that the Trump tariff agenda is alive, well, healthy and will be implemented to protect you, to save your jobs and your factories, and to stop shipping foreign wealth — our wealth — into foreign hands,' Peter Navarro, Trump's top trade adviser, said on Thursday.
Trump had invoked the International Emergency Economic Powers Act (IEEPA) to impose the so-called reciprocal tariffs announced in early April. However, on Wednesday, the trade court ruled that the president does not have the authority to impose such broad levies under the IEEPA.
'America cannot function if President Trump — or any other president, for that matter — has their sensitive diplomatic or trade negotiations railroaded by activist judges,' said White House Press Secretary Karoline Leavitt. 'Ultimately, the Supreme Court must put an end to this for the sake of our Constitution and our country.'
The US stock markets initially jumped on the original court ruling, alongside positive quarterly earnings results from Nvidia. However, major indices gave up early gains despite a higher close on Thursday. During Friday's Asian session, US stock futures continued to fall as risk-off sentiment prevailed.
As of 4 am CEST, Dow Jones Industrial Average futures were down 0.08%, while the S&P 500 and Nasdaq 100 futures both declined 0.26%.
European markets, however, were higher on Friday with the Euro Stoxx 50 up 0.54%, Germany's DAX up 0.95% and France's CAC 40 rising 0.32% by 13:30 CEST. Investors will be closely watching the progress of US-EU trade talks, though the legal battle surrounding the Trump administration's tariffs is adding complexity to the outlook.
Asian equity markets traded mostly lower on Friday morning. Hong Kong's Hang Seng Index fell 1.4%, Japan's Nikkei 225 lost 1.39%, and South Korea's Kospi dropped 0.61%. Australia's ASX 200 was flat as of 3:10 am CEST.
The latest court developments have once again dented investor confidence in US assets, particularly the dollar. Yields on US government bonds initially jumped to 4.5% but later pulled back to 4.42% as Treasury prices came under renewed pressure.
Meanwhile, haven assets have rallied. Gold jumped, and the euro, the Swiss franc, and the Japanese yen all strengthened significantly. The euro rebounded sharply from an intraday low against the dollar on Thursday after the tariff ruling was paused. The EUR/USD pair fell as low as 1.1210 before surging to 1.1353 as of 3:11 am CEST on Friday. Gold futures also swung higher, climbing to $3,321 per ounce from an intraday low of $3,269 on Thursday.
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Euronews
3 hours ago
- Euronews
Russia is 'mocking' the US, Lithuanian defence minister says
Thousands of people took to the streets in Bulgaria on Saturday, calling on the government to preserve the country's currency, the Bulgarian lev, and not enter the euro area. In the capital, Sofia, and various other cities, demonstrations against the introduction of the euro currency began at around noon. The protests were organised by the ultranationalist Revival Party and several NGOs. They believe that if Bulgaria enters the eurozone, prices will rise and the country's economic sovereignty will be limited, and want a referendum to be held on the issue. "Revival Bulgaria has a will of the people and the will of the people now says categorically: we do not want the Bulgarian lev to be destroyed, we want to preserve the Bulgarian currency, we want to preserve the freedom of Bulgaria. And that is why we want such a referendum to be held," said the leader of the Revival party Kostadin Kostadinov. Bulgaria's President Rumen Radev recently submitted a request to parliament to hold a referendum on whether the country adopts the euro as its currency. In 2024, the European Central Bank said the country couldn't join the currency union yet because inflation in the country was too high. The seven non-eurozone members of the EU are Bulgaria, the Czech Republic, Denmark, Hungary, Poland, Romania, and Sweden. They continue to use their national currencies, although all but Denmark - which has won an opt-out clause - are obliged to join once they meet the euro convergence criteria. Bulgaria has set a target to join the euro area as of 2026. Lithuanian Defence Minister Dovilė Šakalienė has accused Russia of "mocking" the US government over the Kremlin's refusal to engage meaningfully in ceasefire talks. She warns that instead of being pressured into ending the war, the Kremlin is pushing forward with mobilizing 1.5 million students by the end of the year. 'In my opinion they already mocked the American government- they are showing disrespect to any effort to reach an agreement', she told Euronews. Šakalienė also said Russia has not been put under pressure by the US obliging them to make concessions or cease its military campaign against Ukrainian civilians and civilian infrastructure. "On the other hand why should they stop" [their attacks]. They have really transformed their economy to a war time economy. They are moving very fast with their armed forces reform. – to have 1.5 million soldiers by end of the year". Minister Sakalienė was speaking to reporters during a NATO military exercise, this year's "Iron Wolf" [alluding to a creature from Lithuanian mythology], which included a simulated counter-offensive featuring German tanks and Lithuanian infantry fighting vehicles. The exercise also included an air Assault Operation, including para-troopers drop-offs, as part of the US-led exercise "Swift Response'. Six NATO allies were involved in the paratrooper exercise including the US, Germany, Italy, France, and the Netherlands. The point of the exercise is to evaluate NATO's readiness to conduct military operations in the event of a invasion by Russia into NATO territory, in particular the Baltic countries, former Soviet republics. Sakalienė believes there is no incentive for Russia to stop its campaign in Ukraine, as well as its "imperialistic" ambitions across Europe which the minister said is further strengthened by the Kremlin's collaboration with North Korea, Iran and China: "Russia's military industry is really gaining speed. They are still moving forward in Ukraine. Why should they stop?' The minister was responding to questions about the failed attempt at peace talks in Turkey when Putin refused to show up and sent a delegation headed by presidential aide Vladimir Medinsky to meet with the Ukrainian delegation. Ukraine president Volodymr Zelenskyy went to Ankara to meet President Recep Tayyip Erdogan. He said he was willing to travel to Istanbul but only if Putin showed up. 'So currently what I see is basically a mocking game I don't think it's going to lead us anywhere', she said. Sakalienė called the efforts to stop the war 'worthwhile' but, ultimately, the only way to end the war in Ukraine was through military means. 'I think the efforts by the US to stop this war are worthwhile. We'll see how that ends but in my opinion in the end what is going to be the only efficient means is regenerating the Ukrainian army and building military muscle in Europe. That's the only deterrent.' NATO defence ministers will meet in Brussels next week, when the United Kingdom and Germany convene the Ukraine Defence Contact Group at NATO HQ. Ukrainian President Volodymyr Zelenskyy has cast doubt over whether renewed peace talks with Russia, set to take place next week in the Turkish city of Istanbul, will yield results. He said on Friday that Kyiv is still waiting for Russia to clarify its proposals ahead of the talks, which are set to take place on 2 June. Andrii Yermak, a top adviser to Zelenskyy, said Friday that Kyiv was ready to resume direct peace talks with Russia but that the Kremlin should first provide a promised memorandum setting out its position on ending the more than three-year war. Zelenskyy said that Russia was 'undermining diplomacy' by withholding the document. "Neither we in Ukraine nor Turkey, as the host country, have any information about Russia's so-called 'memorandum.' For some reason, the Russians are hiding this document. It is a completely strange position," Zelenskyy said in his nightly address on Friday. As uncertainty remains about a new round of peace talks, Russia strikes have continued to hit Ukraine. Officials said Russia's drone and missile attacks on Ukraine on Saturday killed at least two people, including a 9-year-old girl. Russian troops launched some 109 drones and five missiles across Ukraine overnight, according to the Ukrainian air force. Three of the missiles and 42 drones were destroyed and another 30 drones failed to reach their targets without causing damage, it said. A 9-year-old girl was killed in a strike on the front-line village of Dolynka in the Zaporizhzhia region, and a 16-year-old was injured, Zaporizhzhia governor Ivan Fedorov said. 'One house was destroyed. The shockwave from the blast also damaged several other houses, cars, and outbuildings,' Fedorov wrote on Telegram. Another man was killed by Russian shelling in Ukraine's Kherson region, local governor Oleksandr Prokudin wrote on Telegram. Moscow did not comment on either attack. Russia's Ministry of Defence said Saturday that it had gained control of the Ukrainian village of Novopil in the Donetsk region, and took the village of Vodolahy in the northern Sumy region. Ukrainian authorities in Sumy ordered mandatory evacuations in 11 more settlements as Russian forces make steady gains in the area. The new additions bring the total number of settlements under evacuation orders in Sumy, which borders Russia's Kursk region, to 213. Meanwhile, 14 people were injured including four children after Ukrainian drones struck apartment buildings Saturday in the Russian town of Rylsk and the village of Artakovo in the western Kursk region, according to local acting governor Alexander Khinshtein.
Euronews
4 hours ago
- Euronews
Thousands protest in Bulgaria to maintain national currency
Thousands of people took to the streets in Bulgaria on Saturday, calling on the government to preserve the country's currency, the Bulgarian lev, and not enter the euro area. In the capital, Sofia, and various other cities, demonstrations against the introduction of the euro currency began at around noon. The protests were organised by the ultranationalist Revival Party and several NGOs. They believe that if Bulgaria enters the eurozone, prices will rise and the country's economic sovereignty will be limited, and want a referendum to be held on the issue. "Revival Bulgaria has a will of the people and the will of the people now says categorically: we do not want the Bulgarian lev to be destroyed, we want to preserve the Bulgarian currency, we want to preserve the freedom of Bulgaria. And that is why we want such a referendum to be held," said the leader of the Revival party Kostadin Kostadinov. Bulgaria's President Rumen Radev recently submitted a request to parliament to hold a referendum on whether the country adopts the euro as its currency. In 2024, the European Central Bank said the country couldn't join the currency union yet because inflation in the country was too high. The seven non-eurozone members of the EU are Bulgaria, the Czech Republic, Denmark, Hungary, Poland, Romania, and Sweden. They continue to use their national currencies, although all but Denmark - which has won an opt-out clause - are obliged to join once they meet the euro convergence criteria. Bulgaria has set a target to join the euro area as of 2026. Lithuanian Defence Minister Dovilė Šakalienė has accused Russia of "mocking" the US government over the Kremlin's refusal to engage meaningfully in ceasefire talks. She warns that instead of being pressured into ending the war, the Kremlin is pushing forward with mobilizing 1.5 million students by the end of the year. 'In my opinion they already mocked the American government- they are showing disrespect to any effort to reach an agreement', she told Euronews. Šakalienė also said Russia has not been put under pressure by the US obliging them to make concessions or cease its military campaign against Ukrainian civilians and civilian infrastructure. "On the other hand why should they stop" [their attacks]. They have really transformed their economy to a war time economy. They are moving very fast with their armed forces reform. – to have 1.5 million soldiers by end of the year". Minister Sakalienė was speaking to reporters during a NATO military exercise, this year's "Iron Wolf" [alluding to a creature from Lithuanian mythology], which included a simulated counter-offensive featuring German tanks and Lithuanian infantry fighting vehicles. The exercise also included an air Assault Operation, including para-troopers drop-offs, as part of the US-led exercise "Swift Response'. Six NATO allies were involved in the paratrooper exercise including the US, Germany, Italy, France, and the Netherlands. The point of the exercise is to evaluate NATO's readiness to conduct military operations in the event of a invasion by Russia into NATO territory, in particular the Baltic countries, former Soviet republics. Sakalienė believes there is no incentive for Russia to stop its campaign in Ukraine, as well as its "imperialistic" ambitions across Europe which the minister said is further strengthened by the Kremlin's collaboration with North Korea, Iran and China: "Russia's military industry is really gaining speed. They are still moving forward in Ukraine. Why should they stop?' The minister was responding to questions about the failed attempt at peace talks in Turkey when Putin refused to show up and sent a delegation headed by presidential aide Vladimir Medinsky to meet with the Ukrainian delegation. Ukraine president Volodymr Zelenskyy went to Ankara to meet President Recep Tayyip Erdogan. He said he was willing to travel to Istanbul but only if Putin showed up. 'So currently what I see is basically a mocking game I don't think it's going to lead us anywhere', she said. Sakalienė called the efforts to stop the war 'worthwhile' but, ultimately, the only way to end the war in Ukraine was through military means. 'I think the efforts by the US to stop this war are worthwhile. We'll see how that ends but in my opinion in the end what is going to be the only efficient means is regenerating the Ukrainian army and building military muscle in Europe. That's the only deterrent.' NATO defence ministers will meet in Brussels next week, when the United Kingdom and Germany convene the Ukraine Defence Contact Group at NATO HQ.
Euronews
4 hours ago
- Euronews
Russia is 'mocking' the US, Lithuanian defense minister says
Lithuanian Defence Minister Dovilė Šakalienė has accused Russia of "mocking" the US government over the Kremlin's refusal to engage meaningfully in ceasefire talks. She warns that instead of being pressured into ending the war, the Kremlin is pushing forward with mobilizing 1.5 million students by the end of the year. 'In my opinion they already mocked the American government- they are showing disrespect to any effort to reach an agreement', she told Euronews. Šakalienė also said Russia has not been put under pressure by the US obliging them to make concessions or cease its military campaign against Ukrainian civilians and civilian infrastructure. "On the other hand why should they stop" [their attacks]. They have really transformed their economy to a war time economy. They are moving very fast with their armed forces reform. – to have 1.5 million soldiers by end of the year". Minister Sakalienė was speaking to reporters during a NATO military exercise, this year's "Iron Wolf" [alluding to a creature from Lithuanian mythology], which included a simulated counter-offensive featuring German tanks and Lithuanian infantry fighting vehicles. The exercise also included an air Assault Operation, including para-troopers drop-offs, as part of the US-led exercise "Swift Response'. Six NATO allies were involved in the paratrooper exercise including the US, Germany, Italy, France, and the Netherlands. The point of the exercise is to evaluate NATO's readiness to conduct military operations in the event of a invasion by Russia into NATO territory, in particular the Baltic countries, former Soviet republics. Sakalienė believes there is no incentive for Russia to stop its campaign in Ukraine, as well as its "imperialistic" ambitions across Europe which the minister said is further strengthened by the Kremlin's collaboration with North Korea, Iran and China: "Russia's military industry is really gaining speed. They are still moving forward in Ukraine. Why should they stop?' The minister was responding to questions about the failed attempt at peace talks in Turkey when Putin refused to show up and sent a delegation headed by presidential aide Vladimir Medinsky to meet with the Ukrainian delegation. Ukraine president Volodymr Zelenskyy went to Ankara to meet President Recep Tayyip Erdogan. He said he was willing to travel to Istanbul but only if Putin showed up. 'So currently what I see is basically a mocking game I don't think it's going to lead us anywhere', she said. Sakalienė called the efforts to stop the war 'worthwhile' but, ultimately, the only way to end the war in Ukraine was through military means. 'I think the efforts by the US to stop this war are worthwhile. We'll see how that ends but in my opinion in the end what is going to be the only efficient means is regenerating the Ukrainian army and building military muscle in Europe. That's the only deterrent.' NATO defence ministers will meet in Brussels next week, when the United Kingdom and Germany convene the Ukraine Defence Contact Group at NATO HQ.
