European markets open higher amid tariff uncertainty; Shell up 2% as it plans to bolster shareholder returns

European markets opened higher on Tuesday as uncertainty remained over the scope and breadth of U.S. President Donald Trump’s trade tariffs.

The pan-European Stoxx 600 index opened 0.3% higher, while London’s FTSE 100 was up around 0.33%, and France’s CAC 40 was 0.5% higher.

Earnings come from Kingfisher and Smiths Group. On the data front, Germany’s Ifo Institute releases its latest business climate survey.

British oil major Shell gained almost 2% in early trading, after the company announced plans to boost investor returns, cut spend and doubled down on its liquified natural gas (LNG) push.

Asia-Pacific markets traded mixed overnight as investors assessed Trump’s tariff threats while U.S. futures edged down marginally after the three key Wall Street indexes logged gains on Monday.

Wall Street remains on edge over a potential uptick in inflation and slowing economic growth as it awaits reciprocal tariffs from the Trump administration on April 2.

However, during Monday’s session, traders grew optimistic on news that the White House may narrow the scope of tariffs going into effect, according to reports from The Wall Street Journal and Bloomberg News.

Later Monday, Trump told the press that he “may give a lot of countries breaks” on reciprocal tariffs. He added that duties on certain sectors, such as pharmaceuticals and autos, would still be coming in the “near future.”

— CNBC’s Hakyung Kim contributed to this market report.