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Opinion: How Trump’s trade war could sink Europe — and the S&P 500 - MarketWatch

1. Trump plans a 25% tariff on EU imports, risking a recession. 2. Germany's economy could contract by 1.5% due to tariffs in 2027. 3. Italy and France face severe debt issues similar to past crises. 4. A eurozone recession could adversely affect U.S. financial markets. 5. European policymakers must prepare for Trump's trade war repercussions.

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FAQ

Why Bearish?

Trump's tariffs could destabilize the eurozone, weakening the euro against the USD.

How important is it?

Tariffs represent a significant shift in trade policy impacting EU economies, influencing EURUSD dynamics.

Why Short Term?

Immediate tariff implementations could lead to quick market responses, especially under political pressure.

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