This is CNBC’s live blog covering European markets.
Porsche shares tick higher as China sales slide
New electric cars made by Porsche, in Hong Kong, China.
Porsche shares have shaken off earlier slightly losses to trade 0.5% higher, after the German automaker said its China deliveries slumped 28% in the first half of 2025.
The year-on-year decline was due to challenging market conditions, particularly in luxury, and “intense competition,” Porsche said.
Deliveries tumbled 23% in Germany and 8% in the rest of Europe, which it attributed to a strong performance last year. However, North America sales jumped 10% due to “higher product availability” and price protection — honoring a previously agreed price — offered in the first half amid increased import tariffs.
Porsche’s share price has tumbled more than 27% this year on severe U.S. tariff headwinds, which have slapped 25% duties on cars and car parts. Key to the outlook now will be EU-U.S. trade negotiations still in play, with investors braced to get more details this week.
The company’s full half-year results are due July 30.
— Jenni Reid
EU and U.S. ‘getting there’ on trade agreement, Spanish economy minister says
Carlos Cuerpo, Spain’s minister of economy, trade and business, appears optimistic about reaching a trade agreement between the U.S. and European Union.
“I want to be optimistic. There’s been progress over the past few weeks… So I think we [are] getting there,” he told CNBC’s Charlotte Reed in Brussels. But there is “still more to do,” Cuerpo noted, as he acknowledged that negotiations were not easy.
Cuerpo also pointed to the significance of the U.S.-EU trade relationship — which was worth 1.68 trillion euros ($1.97 trillion) in 2024, according to the European Council.
“We want to protect that treasure, and therefore we need beneficial agreements to everyone, and that’s what we will be trying to do from the EU side, always being constructive, but also understanding that we need to protect the interests of our industries and our consumers as well,” he told CNBC.
— Sophie Kiderlin
Spirits stocks rise in choppy market
Market moves on the Stoxx 600 are fairly muted this morning. Swedish investment firm Kinnevik is the top performer, up 5%, after reporting a sharp improvement in year-on-year profit in the second quarter.
Spirits-makers Davide Campari and Pernod Ricard are both up over 2%. That comes with investors awaiting updates on EU-U.S. trade negotiations in which drinks could get a tariff exemption — or at least a much lower rate than President Trump has previously threatened.
An EU diplomat told CNBC’s Silvia Amaro that both spirits and aircraft were among the categories that could be spared an expected 10% baseline rate, but stressed that negotiations remain in play, with a final decision on that matter in Trump’s hands.
— Jenni Reid
Europe stocks open higher
European sectors are mixed Tuesday morning, though stocks are generally moving higher despite trade uncertainty hanging over the region.
The Stoxx 600 index is up 0.05% shortly after the open, with Germany’s DAX up 0.15% and France’s CAC 40 and the U.K.’s FTSE 100 both just above the flatline.
Retail is among the worst performers, down 0.3%, while mining stocks are 0.5% higher.
— Jenni Reid
We expect U.S. effective tariff rate near 20%, economist says
A lot remains unclear about the future of U.S. President Donald Trump’s tariffs after 14 countries, mainly in Asia, were threatened with sharply higher rates from Aug. 1.
For European markets, all eyes remain on whether the EU will reach a framework agreement for a deal with the White House in the coming days. An EU diplomat, who did not want to be named because of the sensitivity of the talks, told CNBC’s Silvia Amaro on Monday that the bloc is not expected to receive a letter from the U.S. administration detailing a new timeline for higher rates on Tuesday, providing more breathing room for negotiations this week.
The framework agreement is likely to include a 10% baseline tariff rate and may have exemptions for goods such as aircraft and spirits, they added.
According to Raphael Olsyzna-Marzys, international economist at J. Safra Sarasin Sustainable Asset Management, forecasting amid the current unpredictability is a challenge — but he said he now expects the U.S. to end up with an effective tariff rate closer to 20%, up from 15% today and 2.5% at the end of last year.
“What’s clear is that Trump wants to have tariffs of 10%, that was always the bare minimum … but what’s quite clear is at least on Asian countries such as Vietnam, the tariff rate is going to be quite high because the administration feels these countries have too high of a trade surplus, they need to be corrected,” he told CNBC’s “Squawk Box Europe.“
“If you negotiate, if you give everything away, you might get 20%, which is still pretty high … We know for the EU it’s going to be 10% minimum, with carve-outs and exemptions.”
— Jenni Reid
Here are the opening calls
City of London skyline with 20 Fenchurch Street, affectionately nicknamed the Walkie Talkie, in London, United Kingdom.
Welcome to CNBC’s live blog covering all the action and business news in European financial markets on Tuesday.
Futures data from IG suggests regional markets will open lower, with London’s FTSE 100 expected to open 0.3% lower, Germany’s DAX and France’s CAC 40 0.1% lower, respectively. Futures tied to Italy’s FTSE MIB, were around 0.1% lower this morning.
Global markets are seesawing this week, as traders digest the latest trade tariff news, and any potential trade deals ahead of a July 9 deadline, when higher trade duties are due to come into effect.
U.S. Treasury Secretary Scott Bessent told CNBC’s “Squawk Box” on Monday that there would be several trade announcements over the next 48 hours, adding that he expects “it’s going to be a busy couple of days.” He did not specify which countries were involved.
Asia-Pacific markets swung between gains and losses overnight, however, as investors assessed Trump’s latest tariff threats on 14 trading partners.
Goods exported to the U.S. from Japan, South Korea, Malaysia, Kazakhstan and Tunisia are among the countries now set to face 25% tariffs starting Aug. 1, according to the letters Trump posted on Truth Social, and other countries look to have higher duties imposed on them.
— Holly Ellyatt, Amala Balakrishner