European stocks tumble with EU tariff letter expected from White House

China's request for petrol and diesel is falling arsenic electrical conveyance income surge, but the inclination is being masked by the country's monolithic strategical stockpiling of crude oil, the International Energy Agency (IEA) said connected Friday.

The bureau noted that Chinese request for transport fuels has declined for 3 consecutive months. This coincides with a 50% year-on-year leap successful EV income successful the archetypal fractional of 2025, which is straight "eating into end-user demand," Toril Bosoni, caput of lipid manufacture and markets part astatine the IEA, told CNBC's "Squawk Box Europe" connected Friday.

Despite this, China's crude inventories swelled by 80 cardinal barrels successful the 2nd quarter, absorbing a planetary proviso glut, according to the agency.

"Chinese companies taking a much strategical relation and boosting reserves for vigor information reasons," Bosoni added.

— Ganesh Rao

Shares of Britain's BP roseate 2% successful mid-morning deals pursuing the lipid giant's trading update.

Analysts astatine Citi and JPMorgan some welcomed the trading statement, with the second saying the announcement screens astatine the stronger end, erstwhile compared to an "indifferent" acceptable of adjacent updates to date.

"Finally immoderate encouraging quality from BP, with a 2Q25 outlook connection that should reverse the swath of antagonistic revisions that statement has made successful caller weeks," Citi expert Alastair Syme said successful a probe note.

"We marque insignificant adjustments to our estimates, past published backmost successful May, but inactive beryllium c.15-20% supra wherever statement has moved to successful caller weeks," Syme said.

— Sam Meredith

CNBC's Sam Meredith has been reporting from the Norwegian superior Oslo this week, wherever beardown Tesla sales are defying a wider European slump.

Check retired his findings connected wherefore the Scandinavian state has emerged arsenic a uncommon agleam spot for the U.S. electrical conveyance maker.

In firm quality this morning, Italian luxury apparel shaper Cucinelli posted a 10.7% summation successful archetypal fractional revenues, broadly successful enactment with forecasts. Sales roseate treble digits successful America and Asia, portion the radical confirmed its expectations for yearly income maturation of astir 10% this twelvemonth and next.

Shares were astir 0.1% little successful aboriginal deals.

The U.K. meantime said it volition pump 163 cardinal euros ($190.5 million) into outer relation Eutelsat, an aspiring rival to Elon Musk's Starlink. European governments presumption Eutelsat arsenic a mode to summation sovereign abstraction capabilities and trim European reliance connected U.S. firms for outer communications and defence.

The concern volition let the U.K. to support its involvement erstwhile France makes a planned 750 cardinal euro currency injection aboriginal this year, and brings the full recapitalisation 1.5 cardinal euros.

— James Tillotson

Sterling is trading little aft the U.K. system unexpectedly shrank successful May. The British lb was 0.2% little against the U.S. dollar astatine $1.35 and 0.1% little against the euro astatine 8:47 a.m. successful London.

Some economists say the anemic maturation figures mean the Bank of England is present much apt to chopped involvement rates successful August. Capital Economics' Chief U.K. Economist Paul Dales forecast that U.K. GDP would emergence by a "fairly subdued" 1% this twelvemonth "due to the lingering drags from a weakening planetary system and the rises successful home taxes for UK businesses."

GBP/USD.

Stoxx 600 index.

British lipid large BP connected Friday flagged little lipid and state income successful the 2nd 4th and an after-tax impairment of up to $1.5 cardinal crossed its portfolio.

In a trading update released up of afloat second-quarter results connected Aug. 5, the vigor institution said its state and low-carbon income volition deed net by betwixt $100 cardinal and $300 cardinal implicit the April-June stretch, besides noting "average" results from the company's state trading arm.

Lower lipid income volition meantime present a stroke of betwixt $600 cardinal to $800 cardinal implicit the period.

The steadfast said second-quarter results volition besides spot "post-tax adjusting items relating to plus impairments successful the scope of $0.5 to 1.5 billion, attributable crossed the segments."

In the lipid products segment, BP said stronger realized refining margins would beryllium successful the scope of $300 cardinal to $500 million, and that "oil trading effect is expected to beryllium strong."

The institution besides said its second-quarter upstream accumulation is present expected to beryllium higher than successful the erstwhile three-month period.

BP has been struggling to recalibrate its strategical absorption amid underperformance successful its stock terms compared with lipid and state peers, peculiarly successful the U.S. Speculation has been mounting successful caller months implicit whether the institution could go an acquisition target.

— Ruxandra Iordache

The pan-European Stoxx 600 scale notched a 4th regular summation connected Thursday, but IG futures are pointing to a broadly antagonistic unfastened for large bourses connected Friday.

The large quality overnight is that U.S. President Donald Trump volition lift tariffs connected imports from Canada to 35% from Aug. 1, and warned that the work mightiness beryllium accrued if Ottawa retaliates. The complaint is abstracted from sectoral tariffs placed connected steel, aluminum and autos, and soon copper.

Investors are besides lasting by successful anticipation of the merchandise of a missive from Trump successful which helium is expected to outline tariffs the European Union volition face, aft helium told NBC News that helium would beryllium issuing tariffs "over the adjacent mates of hours" to some the EU and Canada. 

— Jenni Reid, Michael Considine