Europe Faces Economic Uncertainty Amid Political Turmoil

The European economy faces challenges as the European Central Bank (ECB) cuts interest rates to 3% amid slowing growth forecasts, with the eurozone's growth outlook reduced to 1.1% for next year. Germany's economic model is under pressure, while France's political landscape complicates governance. Despite some positive signs in Spain and other former crisis countries, Europe must address structural underperformance compared to the US. The looming Trump presidency adds uncertainty, with potential tariffs impacting trade.