Europe stocks hit fresh record high on earnings, Ukraine peace hopes

European stock markets closed higher Thursday amid a flurry of earnings and economic data and rising hopes of an end to the Russia-Ukraine war.

The pan-European Stoxx 600 index moved higher by 1% while France’s CAC 40 rose by 1.5% and Germany’s Dax index rose 2.1%, the biggest one-day gain in two 2 years. Meanwhile, the U.K.’s FTSE 100 fell by 0.49%.

Markets rose even as investors braced for a new swathe of tariffs to potentially be announced by U.S. President Donald Trump, who posted on social media in the early U.S. hours: “TODAY IS THE BIG ONE: RECIPROCAL TARIFFS!!!”

Those retaliatory duties are expected to hit every country that imposes import duties on the U.S., though exemptions for some sectors are reportedly being considered.