Europe open: Shares slide as earnings reveal US tariff impact

(Sharecast News) - European shares opened lower on Friday as a raft of downbeat corporate earnings citing the impact of US tariffs hit sentiment, putting the benchmark Stoxx 600 under pressure. The index was down 0.63% at 548 in early deals with all major bourses following suit. Germany's DAX fell 0.88% and France's CAC 40 was 0.71% lower.

With a deadline of August 1 looming for the European Union to strike a trade deal with the US or face 30% tariffs, traders are looking for any signs of corporate stress to gauge the economic impact on equities.

In equity news, auto giant Volkswagen slipped as it cut guidance and reported a sharp fall in second-quarter profit, as it felt the impact of US tariffs.

Car parts maker Michelin fell after posting a bigger-than-expected 27.8% slump in first-half net income, blaming the threat of tariffs for a sharp decline in North and Central America although it retained full year guidance.

Puma shares tanked as the German sports apparel flagged a full-year loss, citing lower sales and tariffs.

Reporting by Frank Prenesti for Sharecast.com