Europe should prepare for Trump II – Commerzbank

Source Fxstreet

Donald Trump has at least a good chance of a second term in office. Forward-looking politics should prepare for this, strategists at Commerzbank report.

It cannot be said that there would be a U-turn in US policy under Trump

Under President Trump, the Americans are unlikely to continue to support Ukraine to the current extent. The Europeans will therefore have to shoulder a greater burden. This also applies to defense spending as a whole. The US position here is likely to be that it is primarily the responsibility of the European NATO members to invest sufficiently in protection against Russia. The pressure to raise defense budgets will continue to increase. So far, many countries have struggled to even reach NATO's 2% target.

Donald Trump's preference for a robust foreign trade policy based on tariffs, among other things, could lead to a resurgence of trade disputes between the US and the EU.

However, it cannot be said that there would be a U-turn in US policy under Trump. Rather, he would probably only accelerate trends that are already in place; a certain move away from Europe and an increased US focus on the Asian region is to be expected with any future administration. The same applies to the push for more protectionism. This enjoys broad bipartisan support. However, President Trump would probably ensure that Europeans can no longer turn a blind eye to these developments.

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Bitcoin Briefly Falls Below $76,000: Will Powell Staying on Board Curb Rally? Fed maintains interest rates, Bitcoin price falls below $76,000 as Powell's stay may hinder rebound.On April 30 (GMT+8), Bitcoin ( BTC) narrowed its losses and returned above $76,000, cur
Author  TradingKey
11 hours ago
Fed maintains interest rates, Bitcoin price falls below $76,000 as Powell's stay may hinder rebound.On April 30 (GMT+8), Bitcoin ( BTC) narrowed its losses and returned above $76,000, cur
placeholder
Brent Oil Breaks Through $120 Mark, Strait of Hormuz Deadlock Continues to Ferment, How Will Trump’s Choice Sway Oil Price Direction?Hopes for a resolution to the U.S.-Iran deadlock are fading, and the oil price rally continued during the Asian session. On Thursday, dampened by pessimistic news regarding peace talks, B
Author  TradingKey
13 hours ago
Hopes for a resolution to the U.S.-Iran deadlock are fading, and the oil price rally continued during the Asian session. On Thursday, dampened by pessimistic news regarding peace talks, B
placeholder
Today’s Market Recap: Fed Dissent and AI Capex Surges Define Volatile Earnings Week The S&P 500 edged down 0.04% to 7,135.95, while the Nasdaq Composite gained a modest 0.04% to reach 24,673.24. Meanwhile, the Dow Jones Industrial Average declined 0
Author  TradingKey
19 hours ago
The S&P 500 edged down 0.04% to 7,135.95, while the Nasdaq Composite gained a modest 0.04% to reach 24,673.24. Meanwhile, the Dow Jones Industrial Average declined 0
placeholder
Goldman Sachs: Structurally Bullish on Gold to $5,400, But Warns of Short-Term PullbackGoldman Sachs ( GS) 's latest precious metals research report on gold ( XAUUSD) price trends presents a "structurally bullish, tactically cautious" dual outlook, maintaining its year-end
Author  TradingKey
Yesterday 10: 13
Goldman Sachs ( GS) 's latest precious metals research report on gold ( XAUUSD) price trends presents a "structurally bullish, tactically cautious" dual outlook, maintaining its year-end
placeholder
UAE Announces Exit From OPEC. Wall Street Warns: Medium-Term Oil Prices Face Downside RisksThe United Arab Emirates (UAE) has officially announced that it will formally withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the OPEC+ alliance on May 1.Bl
Author  TradingKey
Yesterday 06: 15
The United Arab Emirates (UAE) has officially announced that it will formally withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the OPEC+ alliance on May 1.Bl
goTop
quote