MARKET OUTLOOK - Euro Drops as Trump Declares Victory in U.S. Presidential Election

Forex - The Euro dropped after Trump announced his victory in the U.S. presidential election. ING pointed out that the trade tariffs proposed by Trump could place a heavy burden on the European economy. ING analyst Chris Turner emphasized that the Euro could decline further, suggesting that the worst-case scenario would be if Republicans fail to win the House of Representatives. "This could lead to trade wars, but the proposed U.S. tax cuts, without support for global growth, could potentially send the Euro below parity against the dollar by the end of 2025," Turner noted. He added that this scenario could also mean that the European Central Bank might cut interest rates into "the depths of the supportive region." The Euro fell by 1.37%, dropping to $1.07739, having previously reached a four-month low of $1.0704.