Europe’s $10.4 Trillion Leverage Over US Markets
European institutions hold $10.4 trillion in US financial assets—nearly half of all foreign capital on Wall Street—creating a silent economic arsenal. Pension funds, insurers, and asset managers could trigger seismic shifts if geopolitical tensions escalate.
Trump's tariff threats now face an unexpected counterweight: Europe's capacity to gradually divest from US markets. Analysts warn of contagion risks to the dollar, equities, and fixed income should this 'economic bazooka' be deployed.
The EU's hidden influence stems from decades of accumulated exposure. Market records mask this dependency—until withdrawal becomes policy.