European Stocks Close Higher On Optimism About Tariff Exemptions

(RTTNews) - European stocks closed higher on Tuesday amid optimism about some tariff exemptions by the Trump administration. The U.S. President said on Monday that not all proposed levies would be enforced by April 2, with some countries potentially receiving exemptions.

Investors also digested the latest batch of economic data from the region, and reacted to some earnings updates.

The pan European Stoxx 600 gained about 0.7%. The U.K.'s FTSE 100 settled 0.3% up, Germany's DAX climbed 1.13% and France's CAC 40 advanced 1.08%, while Switzerland's SMI edged up 0.1%.

Among other markets in Europe, Belgium, Greece, Iceland, Ireland, Netherlands, Norway, Poland, Portugal, Spain, Sweden and Turkiye closed higher.

Austria, Denmark and Russia ended weak, while Finland closed flat.

In the UK market, Anglo American Plc, Antofagasta, IAG, Airtel Africa, Weir Group, Informa, Segro and Pearson gained 2 to 4%.

Smiths Group Plc shares climbed 4.7% after reporting pre-tax profit of 228 million pounds in the first six months of fiscal 2025, higher than 171 million pounds in the same period last year. Headline profit before tax rose to 256 million pounds from 228 million pounds a year ago.

Bellway Plc. gained about 1.3% after reporting a 19.9% increase in pre-tax profit for the first six months, while revenue for the period grew by 12.3% from the same period last year.

Kinfisher tanked more than 14%. Kingfisher reported fiscal 2024/25 statutory pre-tax profit of 307 million pounds, compared to 475 million pounds, last year. Earnings per share was 9.9 pence compared to 18.0 pence. Adjusted pre-tax profit was 528 million pounds, down 7.0%. Adjusted earnings per share was 20.4 pence compared to 21.6 pence.

Land Securities, Diageo, Games Workshop, AstraZeneca, Admiral Group and Associated British Foods lost 1 to 2%.

In the German market, Bayer climbed more than 5%, rebounding strongly after a recent sharp drop. Deutsche Bank gained about 2.3%, while Fresenius, Heidelberg Materials, Munich RE, Deutsche Boerse, BMW, Puma and Siemens gained 1.5 to 2%.

Commerzbank, SAP, Allianz, E.ON and Continental also posted strong gains.

Beiersdorf and Siemens Energy both ended lower by more than 2%. Porsche ended nearly 1% down. Sartorius, Vonovia and Brenntag closed modestly lower.

In the French market, Airbus Group, BNP Paribas, Essilor, Societe Generale, Credit Agricole and TotalEnergies gained 2 to 3%.

Accor, Thales, Teleperformance, Publicis Groupe, Vivendi, AXA, Renault, Safran and Engie climbed 1 to 1.8%.

In economic news, The Ifo Business Climate indicator for Germany rose to 86.7 in March 2025, marking its highest level since July. Business sentiment improved as companies grew more optimistic about the months ahead (87.7 vs. 85.6 in February), following parliamentary approval of the German government's plans to increase defense spending.

Additionally, firms' assessment of the current business situation improved as well (85.7 vs. 85.0).

UK retail sales declined sharply in March amid weaker confidence, the Distributive Trades survey results from the Confederation of British Industry showed on Tuesday.

The retail sales balance fell to -41% in March from -23% in February. The balance was worse than forecast of -28%. This was the sixth consecutive fall.

Data from the European Automobile Manufacturers' Association, or ACEA, said, new car sales in Europe dropped by 3.4% on a yearly basis in February, after a 2.6% decline in January.

The German market reported the biggest monthly fall of 6.4%, followed by a 6.2% decrease in Italy.

In the year-to-date period, EU car sales logged an annual fall of 3%. Among major markets, only Spain recorded an increase, which was up 8.4%.

Sales in Italy and Germany decreased 6% and 4.6%, respectively. France's sales slid 3.3%.

Beazley, Standard Chartered, Rolls-Royce Holdings, Shell, Barclays Group, Lloyds Banking Group, Convatec Group, Fresnillo, Auto Trader Group and Schroders climbed 1.3 to 2%.