The Stoxx 600 index for European stocks fell 0.2%, with shares of Nordic Semiconductor dropping 17.6%, hitting the bottom of the index, after the company's chip sales missed expectations in the first quarter. The automotive sector index declined 3.7%, marking the biggest loss in a single day in five months.
Tesla CEO Elon Musk indicated that "the company will continue to lower its prices to stimulate demand even after its profit margins were severely affected in the first quarter." His comments raised concerns about a potential price war, which harmed shares of automotive companies on both sides of the Atlantic. Shares of Renault, Stellantis, Volkswagen, BMW, and Mercedes dropped between 3% and 8%.