By Elwin de Groot, head of macro strategy at Rabobank
Half A Glass
As we wrote in yesterday’s monthly outlook, in the first 100 days of Trump's second presidency, the "America First" economic policy has become evident, marking significant shifts in many corners of the global economy and markets. US tariffs are now used as a foreign policy tool to rebuild strategic sectors and force economies to choose between the US and China. While the US has yet to secure any trade deals, it is likely to soon establish a framework with India, whose economy is rapidly growing. This partnership could attract other nations like Japan, South Korea, and Australia into the US bloc. Europe and the UK face a strategic choice between aligning with the US, China, or remaining independent.
