London—European stock markets retreated Friday and the dollar rallied on the prospect of higher US interest rates, with dealers betting US president-elect Donald Trump’s planned huge spending policies will fire inflation.
Despite an all-time high close on Wall Street Thursday, investors across Asia and Europe turned cautious on uncertainties linked to a Trump presidency, while the Mexican peso hit a fresh record dollar low. After an initial shock, global equities rocketed Wednesday and rose further Thursday after Trump beat Hillary Clinton to the US presidency.—APP
