AsianFin -- European stocks edged lower on Wednesday, dragged down by a sharp decline in ASML shares after the chip equipment maker issued a downbeat growth outlook, while investors remained on edge over the potential inflationary impact of new tariffs following stronger-than-expected U.S. inflation data.

The pan-European STOXX 600 index slipped 0.3% to 543.38 as of 07:12 GMT.

Shares of ASML dropped 6.7% after the Dutch semiconductor equipment giant warned it may not see growth in 2026, despite reporting better-than-expected second-quarter bookings. The company’s cautious outlook added to market jitters already heightened by global trade tensions.