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European stocks slide on renewed trade war woes

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European shares traded lower on Monday amid trade war concerns after the U.S. and China imposed tit-for-tat tariffs on Friday that raised worries about global growth outlook.  

Markets were rattled by trade war woes on Monday, as China announced plans for retaliatory tariffs on U.S. goods worth $34 billion.

On Friday, U.S. President Donald Trump approved a first round of levies on about $50 billion in Chinese products and reportedly was drawing up a list for a second wave of tariffs against China.

STOXX Europe 600 index subtracted 0.96 percent to 385.39 points and Euro STOXX 50 slipped 1.14 percent to 3,464.91.

Germany’s DAX 30 dipped 1.38 percent to 12,829.87 and French CAC 40 edged down 1.21 percent to 5,435.45.

VolksWagen AG stocks plummeted 2.33 percent to 154.90 euros after Audi chief executive Rupert Stadler has been arrested by police investigating the emissions scandal.

U.K. FTSE 100 sagged 0.35 percent to 7,607.55.

“A potentially destabilizing vote in German Chancellor Angela Merkel’s governing coalition partner over a migration plan could put further pressure on European shares,” according to Reuters.

European stocks trailed losses in their Asian counterparts, which fell to a 2-1/2 week low.

On Wall Street, Dow Jones plunged 0.34%, S&P 500 slumped 0.10% and Nasdaq Composite recoiled 0.19 percent on Friday.

The dollar index dropped for a second straight session to 94.90, erasing some of last week’s gains, helping the euro to trade higher at $1.1615.

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