FX.co ★ DAX Slips on New Tariff Threats

The DAX 40 experienced a decline exceeding 1% on Monday, dropping below the 25,000 mark as pessimism swept through European markets. This downturn was largely influenced by the looming threat of renewed trade disputes between the United States and Europe. President Donald Trump announced the imposition of 10% tariffs, with the potential to escalate to 25%, on imports from several European countries including Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland. This move will persist "until an agreement is reached for the complete and total acquisition of Greenland." Concurrently, according to the Financial Times, there are reports that the European Union is contemplating implementing retaliatory measures. These may involve tariffs on €93 billion worth of American goods or even limiting U.S. companies' access to the European internal market as a countermeasure to Trump's threats directed at NATO allies.