Shares in European planemaker Airbus <AIR.PA> fell on Thursday after the U.S. government said it would maintain 15% tariffs on the company's aircraft and 25% tariffs on other European goods. Airbus shares were down 2.1% at 0705 GMT, making the stock the worst performer on France's benchmark CAC-40 index <.FCHI>. On Wednesday, the U.S. government said it would maintain the tariffs on Airbus and other European goods despite moves by the European Union to resolve a 16-year-old dispute over aircraft subsidies.
European stock markets edged lower Thursday, retracing after sharp gains Wednesday, with investors fretting over the pace of the economic recovery in the region, not helped by the decision of the U.S. government to leave tariffs on Airbus and a host of other European goods unchanged. German consumer prices data, released earlier Thursday, confirmed disinflationary pressures in Europe’s largest economy, contrasting with signs in the U.S. that inflation is gathering speed, pointing to economic recovery.
With economic data on the lighter side from the Eurozone, U.S weekly jobless claims, the latest COVID-19 numbers, and the Capitol Hill will be in focus.