European stocks are heading for a higher open Tuesday as global markets breathe a sigh of relief after U.S. President Donald Trump paused planned tariffs on goods from Canada and Mexico.
Global markets slumped on Monday as investors reacted to Trump's decision to impose trade tariffs on Canada, Mexico and China, and threatened to introduce levies on goods from the European Union and U.K.
The pan-European Stoxx 600 traded lower throughout Monday's session with all sectors firmly in negative territory. Carmakers, tech and industrial stocks were the worst performers.
Market sentiment was boosted overnight as Trump announced a 30-day pause on tariffs on Mexico, then Canada. The pauses came after both countries agreed to take steps toward preventing the trafficking of opioid fentanyl into the U.S.
China announced early Tuesday morning that it would levy tariffs of up to 15% on select U.S. imports, including on crude oil, some vehicles and farm equipment, starting Feb. 10. The move is a response to Trump's decision to impose duties of 10% on Chinese imports, starting Tuesday.
Source: CNBC
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