German auto companies embraced greater clarity but warned that even the lower rate of tariffs agreed between Brussels and Washington would still hurt.

US President Donald Trump announced on Sunday that the United States was imposing 15-percent tariffs on all European Union countries.

The euro’s fall accelerated on Monday, putting the currency on course for its steepest one-day drop against the dollar since May, as investors bet that the EU-US trade deal would hurt the European economy. The single currency was down 0.9 per cent against the dollar at $1.164 in afternoon trading, and weakened by a similar amount against the pound.

European Union wine and spirits producers could emerge among the few winners of a EU-U.S. trade deal agreed at the weekend that some European officials consider unbalanced.

The 15% tariff would be lower than previously threatened, but it would remain a high duty on America’s largest trading partner.

European stocks trimmed early gains as optimism around a US trade deal was replaced by lingering concerns that higher levies would crimp earnings.Most Read from BloombergThe High Costs of Trump’s ‘Big Beautiful’ New Car Loan DeductionCan This Bridge Ease the Troubled US-Canadian Relationship?

Jeep owner Stellantis said on Monday it suffered a massive loss in the first half of the year, when it felt the first impact of new US tariffs and took