European Markets Struggle Amid Tariff Uncertainty

European shares declined amid concerns over impending U.S. tariffs, anticipated to impact global growth and inflation. The STOXX 600 index registered notable losses, particularly in pharmaceutical stocks. In contrast, Svitzer's shares surged following a significant cash offer from A.P. Moller Holding.

European markets faced a downturn on Wednesday as investors braced for anticipated U.S. tariffs, feared to trigger a period of sluggish global growth and increased inflation.

The broad STOXX 600 index slipped by 0.5% at 0712 GMT, as uncertainty loomed over U.S. President Trump's 'Liberation Day' tariff announcement expected at 2000 GMT. The lack of clarity around these tariffs have sent ripples through the market, driving the STOXX 600 to its lowest in over two months, and down 4.6% from a previous high in March.

The pharmaceutical sector bore the brunt, with industry leader Novo Nordisk suffering a 1.8% drop. On a brighter note, shares in Svitzer surged by 31.1%, driven by a competitive cash offer from Denmark's A.P. Moller Holding, valuing the company at 9 billion Danish crowns ($1.30 billion).

(With inputs from agencies.)