FX.co ★ European Stocks End Week Lower

European stock markets experienced a downturn on Friday, as evidenced by the Stoxx 50's 1.1% decline and the Stoxx 600's 0.8% drop, marking its third successive day of losses. Market sentiment was influenced by U.S. economic indicators, particularly the core Personal Consumption Expenditures (PCE) price index, which unexpectedly rose to 2.8%, indicating ongoing inflationary pressures. This development exerted additional strain on European markets, which were already contending with trade-related challenges following U.S. President Donald Trump's announcement of a 25% tariff on imported vehicles, effective April 2. Moreover, Trump hinted at the possibility of imposing further tariffs on the EU and Canada, intensifying trade tensions. Concurrently, inflation reports from Spain and France fell short of expectations, with France's inflation rate steady at 0.9% and Spain's decreasing to 2.2%. In the corporate sector, shares of Ubisoft fell nearly 2% following Chinese tech behemoth Tencent's announcement of a $1.25 billion investment in a subsidiary dedicated to Ubisoft's gaming franchises.