Markets across Europe fell sharply as concerns deepened over fresh tariff threats from the Donald
Trump‑led U.S. administration. The pan‑European STOXX 600 index dropped about 1.7 %, marking the longest losing streak in months for European equities. Investing.com+1
The auto and industrial sectors were hit particularly hard, with German manufacturers among the hardest struck. Investors interpreted the tariff posture as signalling rising costs, disrupted supply chains and slower growth ahead.
While financial markets often look ahead, this episode warns that trade policy remains a potent driver of volatility. For European companies dependent on exports, the renewed uncertainty weighs heavily on strategy, investment and hiring decisions.
References:
Reuters – “European shares fall after fresh Trump tariff threats” (3 Nov 2025) I
