On September 14, 2025, US Treasury Secretary Scott Bescent and Chinese Deputy Prime Minister during US-China trade and economic talks at Santa Cruz Palace, Spain’s major foreign ministry office in Madrid, Spain.
US Treasury | Via Reuters
LONDON – European stocks fell on Tuesday as investors assessed the development of US-China trade talks.
Pan-European Stoxx 600 1.2% was low, with most sectors in negative territory. Blues in all major regions traded lower, with German DAX flowing 1.8%.
U.S. Treasury Secretary Scott Bescent told CNBC on Tuesday that he expected further trade debates between Washington and Beijing to take place before punitive tariffs settle in November.
“We’ll see each other again,” Bescent said. “Each of these talks is becoming increasingly productive. I think the Chinese now feel that trade contracts are possible.”
The so-called “liberation day” tariffs unfolded by US President Donald Trump in April would have been slapped by China’s imports into the United States of America at 145% obligation. These tariffs are delayed to allow trade negotiations to be held, and a deadline is currently set on November 10th.
In corporate news, Thyssenkrupp One of the top return stocks in the STOXX 600 confirmed that it received a steel unit non-binding offer from India, Jindal Steel. Thyssenkrupp’s shares reached 4.4%.
“The Executive Committee of Thyssenkrupp AG will carefully review the offer and pay particular attention to its economic viability, continued green transformation and employment at our steel locations,” the company said in a statement.
Thyssenkrupp stock price
In the US, the central bank’s federal open market committee will meet for a two-day meeting on Tuesday to decide whether to cut interest rates. According to CME’s FEDWATCH tool, the money market is currently cutting 25 base points to the Fed’s main interest rates.
Among the worst performers in the European banking sector was Germany’s Commerzbank, which fell 4.1%. Societe Generale3.6% decrease, Spanish lender Caixabankdown 2.4%.
In the UK, official data showed on Tuesday that the country’s unemployment rate was stable at 4.7% in July, remaining at its four-year high in June.
Meanwhile, the average revenue growth rate excluding bonuses slowed to 4.8% in the three months leading up to July, down from 5% in the last three months.
“The steadily held headline unemployment rate hides a chilling trend that is unsettling for many workers,” said Danni Hewson, head of financial analysis at AJ Bell in a memo on Tuesday morning. She showed that job openings are declining, while many companies delay hiring and investing decisions until the fall budget in November.
“This trend will be closely monitored by the Bank of England rate setters,” added Hewson. “While the market has not been cut this week, this softening opens up another potential for interest rate cuts this year.”
British Pound Finally, it was seen as 0.4% higher against the US dollar, trading at around $1.365, but the UK government’s borrowing costs remained flat.
Global markets are also paying attention to meetings in Spain after US President Donald Trump said trade negotiations between the US and China are on track.
Meanwhile, the UK is preparing for a White House leader’s visit to the state. The US President and his wife, Melania, arrive Tuesday evening and spend Wednesday with King Charles and Queen Camilla at Windsor Castle before meeting with British Prime Minister Kiel Starmer on Thursday.
– Jeff Cox of CNBC contributed to this article.
