European Shares Steady Ahead of US Jobs Data Amid Trade Tensions

European markets remained steady and cautious ahead of the crucial U.S. non-farm payrolls report, with the pan-European STOXX 600 holding near flat levels and on track for a second consecutive weekly gain. Investors were weighing the impact of President Donald Trump's recent doubling of steel and aluminum tariffs and ongoing trade tensions, particularly between the U.S. and China, despite a phone call between Trump and Chinese President Xi Jinping that suggested a potential easing of tensions. The European Central Bank cut interest rates as expected but signaled a nearing end to its easing cycle, which tempered expectations for further cuts. Market sentiment was also influenced by a public dispute between President Trump and Tesla CEO Elon Musk over tariffs, adding to the uncertainty. German economic data disappointed, and major European corporations like Adidas, Puma, Airbus, and Volkswagen saw share declines. Overall, investor caution dominated as markets awaited U.S. jobs data that will guide Federal Reserve policy amid these trade and economic uncertainties.