Now that the US administration has extracted some concessions from China on trade and moved negotiations onto a more extended timeline, it could turn its attention to pressuring Europe to reduce its trade surplus with the US.
Any increase in tensions between the US and the EU may be seen as undermining business confidence and delaying ECB QE exit.
That may dampen a quick or full recovery in the EUR is the risk of increasing tension between the US and the EU over Iran sanctions and trade.
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