by Diana Mandia

(Reuters) – European scholarships finished decreasing on Friday, while the calendar tightens so that the various trade partners of the United States reach agreements with Washington on customs duties.

In Paris, CAC 40 lost 0.75% to 7,696.27 points. In Frankfurt, the Dax fell 0.57% and in London, the FTSE 100 finished stable.

The Eurostoxx 50 index abandoned 0.98%, the FTSEURofirst 300 0.45%and the Stoxx 600 0.50%.

Over the week, the Stoxx 600 lost 0.47%, while the CAC 40 took 0.06%

The deadline of July 9 – Next Wednesday – set by US President Donald Trump in April so that the United States’s business partners are reaching customs duties in all spirits on Friday, investors worrying about the little progress made so far on a file that has shaken the markets just three months ago.

The American administration has concluded limited scope agreements with China and Great Britain, as well as an agreement in principle with Vietnam, but uncertainty remains about the capacity of Washington to conclude others before the deadline.

The president of the European Commission, Ursula von der Leyen, said Thursday that Brussels was aimed at a “principle” trade agreement with the United States, while Brussels notably requests an immediate price reduction in key sectors such as the automobile or the steel industry.

Asked about the possibility of concluding an agreement with the White House in time for the deadline, the Indian Minister of Commerce, Piyush Goyal, said that India was ready to conclude trade agreements in the national interest, but not only to meet deadlines.

The discussions also seem to be in a standstill with Japan and South Korea, however initially presented by the White House as the countries most likely to sign a trade agreement.

But even if agreements are concluded by Wednesday, investors do not expect that July 9 marked the end of trade tensions.

“The 90 -day break was instituted because the markets collapsed and I think that political decision -makers needed a certain room for maneuver and time to try to negotiate these agreements or find a sort of launch ramp,” said Julian McManus, portfolio manager at Janus Henderson Investors.

Despite the uncertainty surrounding trade, investors welcomed the US employment report on Thursday, which increased the three main American stock markets during a shortened session.

The New York Stock Exchange is closed on Friday for Independence Day, the American national holiday, but the term contracts report an opening on Monday.

VALUES

In the spirits sector, Pernod Ricard lost 0.38% and Rémy Cointreau won 2.18%, investors digesting China’s decision to impose customs duties up to 34.9% on wine brandies from the European Union (EU), mainly French cognac, to producers who do not respect their commitments in terms of price.

Rémy Cointreau has judged the agreement “favorable” and indicated that it would update its annual financial objectives as a result of the publication of its first quarter results, while Pernod Ricard stressed that the additional costs which will result from it would be considerably lower than the early impact if the so -called “provisional” rates had been confirmed.

Stellantis fell 1.9%, the car manufacturer having announced the recall in Europe of diesel vehicles produced between October 2017 and January 2023, due to potential problems linked to the camshaft chain.

Carmat, who announced on Thursday evening the launch of a call for tenders for the search for buyers or investors, took 79%.

The indicators of the day

Industrial orders in Germany recorded a decrease of 1.4% in May over a month, greater than expected, the degradation of demand within the euro zone having ended a recent recovery.

In France, industrial production unexpectedly fell (-0.5%) in May, according to data published Friday by INSEE.

In the euro zone, production prices fell over a month at a slightly higher pace than expected in May, thanks in particular to the drop in energy prices, show the data published Friday by Eurostat.

Changes

The dollar loses 0.22% in the face of a basket of reference currencies after approval by the Donald Trump Budget Congress, which raises concerns about the increase in American public debt.

The euro earns 0.21% to $ 1.1781.

RATE

The yields of the euro zone bonds fell on Friday, the resumption of the bond markets of the block continuing after the massive sale of British Gilts on Wednesday against the background of concerns around the future of the Minister of Finance.

The yield of the German Bund at ten years lost 1.7 base points at 2.5650%. The two years fell from 2.5 base points to 1,8160%.

The British obligation at ten years old, which went up this week to 4.68%this week, taking more than twenty base points, ended the week in slight increase in 2 base points at 4.563 %%.

OIL

The oil market is withdrawn after Iran reaffirmed its commitment to respect the Nuclear Non-Proliferation Treaty (TNP), while investors anticipate an increase in OPEC+ production during the Cartel meeting which, according to sources, was advanced to Saturday.

Brent loses 0.94% at 68.15 dollars per barrel and the American light crude (West Texas Intermediate, WTI) fell 1.01% to $ 66.32.

(Written by Diana Mandiá, edited by Jean-Stéphane Brosse)

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