EU: Tariff uncertainty returns with new US measures – Commerzbank

💡 DMK Insight

The new 15% global tariff could shake up export strategies for European traders. With the U.S. imposing these tariffs for 150 days, exporters need to reassess pricing and supply chains. This isn’t just a short-term blip; it could lead to increased costs that get passed on to consumers, impacting demand. Traders should keep an eye on how this affects major export sectors, particularly in manufacturing and agriculture, as these could see volatility. Watch for any retaliatory measures from the EU, which could further complicate the landscape. Additionally, the currency markets might react as the Euro could weaken against the Dollar if trade tensions escalate, affecting forex positions. Key levels to monitor would be the EUR/USD pair, especially around psychological levels like 1.05 or 1.10, as traders adjust their strategies based on evolving news. In this environment, those holding long positions in European exporters might want to hedge against potential downturns, while short-term traders could find opportunities in volatility spikes.