The election of Donald Trump marked a turning point in global politics, with significant repercussions on the European economy. But which sector has been most affected by this new situation?
? This article aims to analyze the impact of the Trump administration on economic growth in Europewith emphasis on the most affected sectors. We will explore the policies implemented and their direct and indirect consequences on the different industries. Stay with us for an in-depth analysis of this hot topic.
European stock market reactions to Trump's election
The election of Donald Trump as President of the United States has provoked varied reactions on the European stock markets. Major indices, such as the CAC 40 in Paris, the Dax in Frankfurt and the FTSE 100 in London, recorded significant fluctuations in the days following the announcement.
The uncertainty generated by this election has impacted financial markets, leading to both sharp rises and falls. Pan-European indices like the EuroStoxx 50, FTSEurofirst 300 and Stoxx 600 also suffered significant oscillationsillustrating investors' concern about potentially disruptive political changes.
These movements reflect the volatility that characterized the first reactions of European markets to this election.
Concerns about Trump's trade policy
Donald Trump's trade policy has raised serious concerns, particularly regarding customs duties and their potential impact on economic growth and inflation in the euro area.
Officials of the European Central Bank (ECB) expressed concerns about protectionism announced by the former American president, fearing that it would negatively affect the world economy.
They warned against risk of disruption to international supply chainswhich could lead to increased costs for businesses and consumers.
This situation could also have a depressive effect on productivity, thus slowing down the competitiveness of European economiesalready weakened by trade tensions and geopolitical uncertainties.
Impact on businesses and economic forecasts
The European Commission has revised its GDP forecast for 2025 downwards, mainly due to thegrowing geopolitical uncertainty and the increase in global protectionism.
This revision had notable impacts on several companiessuch as Vivendi and Melrose Industries, which have recorded particular financial performances in response to these economic developments. The foreign exchange market has also seen significant fluctuationsparticularly concerning the US dollar and the euro, with significant variations in their respective values.
At the same time, Eurozone bond yields have been affected by this instabilitya phenomenon accentuated by the election of Donald Trump, which continues to weigh on the global economic outlook and influence investor decisions.
