European Shares Dip Amid Trump's Fresh Tariff Threats

European shares experienced a decline on Friday following U.S. President Donald Trump's heightened tariff threats targeting Europe. Investors are particularly focused on a potential letter announcing new levies on the 27-nation bloc, leading to uncertainty in the markets.

The STOXX 600 index fell 0.7%, although still managing a weekly gain, while leading indices in Germany, France, and Britain also saw dips. Trump's comments on imposing a variety of tariffs on Canadian and other imports have raised doubts about ongoing trade negotiations.

Market responses were mixed, with European banks leading the losses, while the energy sector registered a slight increase. The prospect of reciprocal tariffs has unsettled investors, leaving many anxious about the future of U.S.-EU trade relations.

(With inputs from agencies.)