Former U.S. President Donald Trump has warned that any large-scale sale of U.S. securities by European countries would provoke swift and severe retaliation, escalating financial tensions between Washington and Brussels.

With European holdings of U.S. assets at record levels, analysts note that even a partial sell-off could weaken the dollar, raise U.S. borrowing costs, and trigger significant volatility across global markets. Trump’s comments underscore how trade and financial disputes could quickly spill into broader economic confrontation.

The statement has put investors on alert, as rising geopolitical and financial frictions between the U.S. and Europe increase the risk of sharp market moves and renewed instability in global capital markets.

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