Monday, 4 August 2025

Investor Confidence in EU Drops after Trump’s Brussels Trade Deal

THE GUARDIAN: Agreement is said to ‘dampen the mood’, with the US viewed as the winner at the expense of the eurozone

Investor confidence in the EU has fallen sharply after Donald Trump’s trade agreement with Brussels, amid mounting concern about the economic hit from the US president’s tariff war.

The latest snapshot from the Sentix index showed that investor sentiment fell significantly at the start of the month after the deal last week between Trump and the European Commission president, Ursula von der Leyen.

The data provider said its weekly survey of thousands of investors in more than 20 countries showed that the pact was a “deal that dampens the mood”, with Trump and the US viewed as “winners” at the expense of the eurozone.

“The result is devastating for the eurozone,” said Manfred Hübner, the managing director of the Sentix economic index. “The current situation and expectations are both declining. The wrinkles of concern in the economy are deepening again.” » | Richard Partington | Senior economics correspondent | Monday, August 4, 2025