Europe bulletin: markets slide on tariff fears, Machado wins Nobel Peace Prize

European equities fell sharply on Friday as renewed US-China tensions rattled investors, while Venezuela’s María Corina Machado won the 2025 Nobel Peace Prize, and former UK Prime Minister Rishi Sunak made new inroads into the tech world with advisory roles at Microsoft and Anthropic.

European stocks tumble as Trump threatens new China tariffs

Major European stock indices closed lower on Friday after US President Donald Trump threatened to impose “massive” tariffs on China, raising fears of a renewed trade conflict between Washington and Beijing.

The warning appeared to end the fragile trade truce that had held in recent months.

Germany’s DAX dropped 1.7%, weighed down by a nearly 5% slump in Brenntag.

France’s CAC 40 retreated 1.56%, with Stellantis plunging 7.29%, while the Euro Stoxx 50 fell 1.8%, dragged by a 4.22% decline in ASML.

Meanwhile, the FTSE 100 in London lost 0.92%, led lower by Entain’s 3.96% drop.

On the currency front, the euro gained 0.5% against the US dollar, while the British pound rose 0.32%.

Denmark to expand F-35 fleet amid rising security concerns

Danish Defense Minister Troels Lund Poulsen announced plans to purchase 16 additional F-35 fighter jets, costing around 29 billion Danish kroner ($4.5 billion), bringing Denmark’s total fleet to 43 jets.

Poulsen also revealed a 27.4 billion kroner ($4.25 billion) agreement focused on defense in the Arctic and North Atlantic, underscoring the government’s view that Europe faces a “difficult time.”

He stressed the need for Denmark to invest further in drone technology as part of its broader defense modernization push.

UK, France, and Germany reaffirm stance on Iran and Russia

In a joint statement, UK Prime Minister Keir Starmer, French President Emmanuel Macron, and German Chancellor Friedrich Merz reaffirmed their unified position on Iran’s nuclear ambitions and Russia’s war in Ukraine.

The leaders backed the UN snapback mechanism to counter Iran’s nuclear activities and emphasized their determination to restart negotiations with both Tehran and Washington.

On Ukraine, the trio condemned Moscow’s renewed winter attacks on civilian infrastructure and pledged to channel proceeds from frozen Russian assets toward Kyiv’s defense.

They also signaled readiness to target Russia’s “shadow fleet” in upcoming sanctions.

Venezuela’s María Corina Machado wins 2025 Nobel Peace Prize

Venezuelan opposition leader María Corina Machado was awarded the 2025 Nobel Peace Prize for her “tireless work promoting democratic rights” and advocating nonviolent resistance against the regime of President Nicolás Maduro.

The recognition sparked a global response — and controversy — as US President Donald Trump, who had openly lobbied for the award, missed out.

Trump’s allies had publicly campaigned for his nomination, citing his role in brokering a peace deal between Israel and Hamas.

In her first remarks, Machado thanked President Trump and the United States for supporting Venezuela’s democracy movement.

Analysts said the award could increase international pressure on Caracas but warned that it may also heighten domestic tensions.

Rishi Sunak takes advisory roles at Microsoft and Anthropic

Former UK Prime Minister Rishi Sunak has joined Microsoft and AI startup Anthropic as a senior adviser, marking a shift from frontline politics to the global technology sector.

Sunak, who remains a Member of Parliament, will advise Microsoft on innovation, regulation, and digital transformation, and collaborate with Anthropic on global AI strategy.

Both companies are expanding their presence in the UK tech landscape — Microsoft has pledged £22 billion for AI infrastructure, while Anthropic works with the government on public sector AI projects.

Sunak’s appointments were approved by the Advisory Committee on Business Appointments (ACOBA), with restrictions preventing him from lobbying or advising on UK-specific policy for two years.

He has pledged to donate his earnings to The Richmond Project, a charity he co-founded to promote numeracy skills.