Trump Tariffs? Europe Braces but Has No Clear Strategy
Published On Dec 20, 2024, 3:18 AM
President-elect Donald Trump has threatened to impose tariffs on Europe unless they increase their purchases of U.S. oil and gas. This has led to concerns about a potential trade war between the U.S. and Europe, with European officials struggling to form a coordinated response due to internal political challenges. While some officials support retaliatory measures, others favor negotiation, resulting in divisions over how to handle Trump's ultimatum.
Stock Forecasts
XLE
Negative
In light of Trump's threats, companies with significant business ties to Europe may face increased uncertainty and potential cost increases due to tariffs. This could negatively impact U.S. energy companies if Europe does not comply with oil and gas purchases to avoid tariffs.
SPY
Negative
The uncertainty surrounding trade relations could lead to a pushback from European manufacturers, which may reflect poorly on U.S. companies that rely heavily on exports to Europe.
Related News
Trump says EU should make up 'tremendous deficit' with US by purchasing its oil and gas
Dec 20, 2024, 1:28 AM
(Reuters) - U.S. President-elect Donald Trump said on Friday that the European Union must purchase U.S. oil and gas to make up for its "tremendous deficit" with the world's largest economy, or face tariffs.
The Fed's 'pivot' brought market uncertainty to the forefront
Dec 19, 2024, 3:12 PM
The Federal Reserve's hawkish comments about uncertainty in the rate path ahead spooked investors.
Will a government shutdown impact the stock market? Experts weigh in
Dec 19, 2024, 4:13 PM
As Congress scrambles to avert a potential partial government shutdown before Friday's deadline, investment experts weigh in on how much a shutdown could impact the markets.