European stock markets rose on Tuesday, driven by good news from major companies that helped calm fears about global trade tensions.
The main European index, the STOXX 600, increased by 0.34% early in the day. This rise highlights how investors are currently relying more on specific company updates rather than general economic news to guide their decisions during these uncertain times.
Several companies saw significant gains. Puma’s stock soared 19%, its highest level since last March after the Chinese company Anta Sports bought a 29% stake in the business for €1.5 billion ($1.8 billion).
This deal is expected to boost Puma’s sales in the massive Chinese market. Additionally, shares in the Swiss pharmaceutical company Roche rose nearly 1% after it announced successful trial results for a new weekly weight-loss drug.
On the political front, markets remain worried about the long-term stability of global trade. These concerns persist because US President Donald Trump has threatened to raise taxes on cars from South Korea and other imports, citing delays in a trade deal signed last year.
On the FX front, the US dollar rose slightly on Tuesday but struggled to build significant momentum as traders remained cautious. Markets are on high alert for potential government intervention from the US and Japan to stabilize currency rates, and investors are waiting for the Federal Reserve’s interest rate decision on Wednesday.
This caution has helped the yen steady in the 153 to 154 range, a solid recovery from its recent low of 159.23. By the end of trading, the dollar was up about 0.4% against the yen at 154.75.
Broader measures of the dollar showed a 0.2% increase, marking its first gain in four days, though it is still down about 1% since the start of the year. Other major currencies pulled back slightly from recent highs.
The euro dropped 0.2% to $1.1855, and the British pound dipped marginally to $1.3668, though both remain close to their four-month peaks.
Similarly, the Australian dollar slipped slightly but stayed near its highest level in 16 months.
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