Looks like the U.S. and EU escaped an economic showdown—at least for now. Yesterday, President Trump and EU Commission President Ursula von der Leyen announced a new trade deal, avoiding a nasty trade war. The agreement settles on a 15% tariff on most European goods, including cars, which, while lower than the initially threatened 30%, is still above the EU’s desired 10%.
But wait, there’s more: Europe agreed to buy $750 billion worth of U.S. energy products and invest another $600 billion into the U.S. economy. Critics aren’t totally convinced, pointing out discrepancies in the details provided by Trump and von der Leyen. The market, however, breathed a sigh of relief, sending futures higher. No matter what, avoiding a transatlantic food fight is always good business.
