European shares rise on hopes of easing Chinese tariffs

European shares rose in early trading on Tuesday after positive economic data from Asia and signs of easing tensions between the United States and China overshadowed fears of a global slowdown, while shares of Scandinavian airline SAS fell after it filed for bankruptcy in the United States.

The pan-European Stoxx 600 index rose 0.4 percent by 0708 GMT, tracking gains in Asian markets after data showed services activity in China in June grew more than expected.

Market nervousness eased after a report that US President Joe Biden was considering rolling back some tariffs on Chinese imports, as well as news that Chinese Vice Premier Liu He had a “constructive” dialogue with US Treasury Secretary Janet Yellen.

Scandinavian airline SAS fell 6.7 percent after it filed for bankruptcy and warned that the pilots’ strike had affected its finances and liquidity.

French wines Remy Cointreau rose 4.6 percent after Jefferies changed its recommendation for the company’s stock from “hold” to “buy”.