European stock indexes decline as excitement over US-China trade deal fades

European stock indexes are down on Thursday, May 15, as investors are seeking new impulses to push the market in a certain direction after excitement over the US-China trade truce has peaked.

The German DAX index is down 0.5%, the French CAC 40 drops 0.3% and the UK's FTSE 100 falls 0.5%.

It is becoming increasingly difficult to achieve more growth in the indexes due to investors' realization of the fact that great uncertainty about global economic prospects and trade negotiations between the US and the eurozone persist.

According to data released on May 15, the UK economy unexpectedly grew in March. Gross Domestic Product increased 0.2% in March compared to February, beating the expected zero reading. Also, GDP grew by 0.7% in the first quarter against a forecast of 0.6% gain. Much of the increase was driven by the service sector. Manufacturing also grew significantly after a period of decline.

However, last week, the Bank of England warned that the jump in GDP growth between January and March 2025 would prove temporary.