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European Markets Shrug Off Trump’s Latest EU Tariff Threat
European Markets Shrug Off Trump’s Latest EU Tariff Threat
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European equities showed remarkable resilience in the face of renewed trade tensions, with the Stoxx Europe 600 index dipping a mere 1% following former President Trump’s proposal for 50% EU tariffs. This muted reaction stands in stark contrast to April’s 2.5%-5% selloff during similar rhetoric.
Market analysts widely view the threat as strategic posturing rather than imminent policy. Barclays’ global research chair Ajay Rajadhyaksha notes the deliberate distinction in Trump’s language—framed as a recommendation rather than definitive action. The timing and phrasing suggest a calculated MOVE to gain leverage in upcoming transatlantic negotiations.
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