European Markets Rally on U.S. Tariff Court Block

European shares surged on Thursday after a ruling by a U.S. trade court blocked President Donald Trump's proposed tariffs. The decision ignited a risk-on sentiment in global markets.

The continent-wide STOXX 600 index rose by 0.4% at 0715 GMT, while Germany's DAX 40 increased by 0.5%, approaching an all-time high. The Court of International Trade concluded that Trump exceeded his powers with the proposed April 2 tariffs on imports from American trade partners.

Wall Street saw stock futures climb by over 1.5%, as the court's decision alleviated some ongoing trade uncertainties. Additionally, strong performance by Nvidia after surpassing quarterly sales forecasts further buoyed market sentiment. European technology stocks, including ASML and Schneider Electric, jumped by around 3%, with the tech index leading sector gains at 1.7%. Carmakers and luxury brands also benefitted, with Stellantis, Porsche, and Volkswagen seeing early trading gains.

(With inputs from agencies.)