Investing.com - European stocks edged higher Tuesday, with investors looking past the ever-changing tariff picture to the start of the new earnings season on both sides of the Atlantic.

At 03:05 ET (07:05 GMT), the DAX index in Germany climbed 0.3%, the CAC 40 in France gained 0.2% and the FTSE 100 in the U.K. rose 0.1%.

Quarterly earnings in focus

Europe has started on a mostly upbeat note despite a difficult start of the week after U.S. President Donald Trump announced he would be introducing 30% tariffs on imports from the European Union, effective from the start of August.

This followed news over the past week of similar tariffs on Japan, South Korea, Canada and Brazil, and raised the possibility of a damaging global trade war.

However, investors are becoming more inured to these announcements, and are now turning their attention to the upcoming second-quarter earnings season, and the potential impact of this trade uncertainty on corporate bottom lines.

Ericsson (BS: ERICAs ) impresses with Q2 profit

Looking at the second quarter, STOXX 600 earnings are expected to fall 0.2% after last quarter’s 2.2% growth.

That said, Ericsson (ST: ERICb ) reported a swing to a bigger second-quarter adjusted profit than expected, with the Swedish telecom equipment maker helped by sales growth in North America and cost cuts.

Barratt Redrow (LON: RDW ) delivered a solid full-year 2025 performance in a tough housing market, while credit data company Experian (OTC: EXPGF ) reported 8% quarterly organic revenue growth and maintained its annual forecasts, supported by strong demand for its broad data services across markets.

Away from Europe, the earnings spotlight will be on Wall Street, with banking heavyweights JPMorgan Chase (NYSE: JPM ), Wells Fargo (NYSE: WFC ) and Citigroup (NYSE: C ) set to report second-quarter results later in the session.

Profits for S&P 500 companies in the second quarter are expected to rise 5.8%, according to LSEG data, down from a forecast of 10.2% on April 1, before Trump launched his trade war.

German ZEW due ahead of U.S. CPI

Investors will also be digesting Germany’s ZEW Economic Sentiment for July as well as eurozone industrial production data for May for indications of the health of the region’s economy.

However, the main economic focus will be on the U.S. consumer price index for June, with the widely-watched inflation reading likely to offer clues on when the Federal Reserve may next cut interest rates.

The CPI is expected to show a monthly rise of 0.3% in June, an increase from the 0.1% increase in the prior month, while the annual release is seen climbing to 2.6%, from 2.4% in May.

Data released earlier in the day indicated that China’s economy grew slightly more than expected in the second quarter, with gross domestic product expanding 5.2% year-on-year in the three months to June 30, more than expectations of 5.1%, but declining slightly from the 5.4% seen in the prior quarter.

Crude dips on lengthy Russian deadline

Oil prices dipped lower Tuesday after Trump’s 50-day deadline for Russia to end the Ukraine war and avoid sanctions eased immediate supply concerns.

At 03:05 ET, Brent futures dropped 0.6% to $68.82 a barrel, and U.S. West Texas Intermediate crude futures fell 0.7% to $66.53 a barrel.

Oil prices had climbed at the end of last week on speculation that the U.S. president was set to impose steep tariffs on Russia, having expressed frustration with Russian President Vladimir Putin due to the lack of progress in ending the war in Ukraine.

However, his milder stance has eased fears of an immediate supply crunch, resulting in selling as the week progresses.