Dollar soars against euro after trump’s election win

Trump’s election win today has seen the dollar’s rise close to a one-year high against the euro - boosting the spending power of Americans looking to buy property in France. Numbers of

Americans moving over have been rising post-Covid, with US citizens receiving more first residency cards than Britons, for example, in both 2023 and 2022. The dollar is now worth 94 euro

cents, after having dropped to 89 two months ago. The hike will also be good news for Americans in France whose main income is from the US, such as pensions or from renting out property.

Harris Raphael, managing partner of PioneerFrance, Dordogne-based property and currency specialists for France, said: “It’s not surprising to have seen a spike in the dollar rate as Trump

was seen as the stronger candidate for the US economy. “It’s likely to sustain those levels for a little while, but then the broader macroeconomic climate will kick in and we’ll have to see

what happens. “It could go up further, but it will depend on what is happening globally, with regard to conflicts and flashpoints around the world. But from the point of view of the dollar

strengthening if the US economy is seen as strong, for the moment in the afterglow of a Trump win, the markets are likely to stay bullish.” He said it is good news for Americans looking to

buy in France, who will obviously now get more euros for their money. ‘STEADY FLOW OF US PURCHASERS’ “There has been a fairly steady flow of US purchasers over the last year or two and

there’s no reason now with these results to assume that would change,” he said. He was aware, he added, of some US buyers who had bought French second homes after the 2016 elections because

they did not support Mr Trump’s politics, and considered it prudent to move some of their funds out of the US. “France has always held a particular appeal to Americans, for generations, and

with greater mobility, more have chosen either to settle here, or to have holiday homes here. I think they see in France an old-world charm and a different lifestyle from what they could

have in the States.” One US-based specialist in French property, Adrian Leeds Group, has already advertised a ‘Moving to France post-elections’ webinar. The 2016 elections saw figures for

first residency cards issued to Americans rising, then doubling again after a slump due to Covid in 2020. In 2022 more Americans received them than any nationality other than people from

former French colonies in the Maghreb, though they were pipped by Chinese people in 2023. France hosts more than 150,000 adult Americans, it is estimated, meaning France has the largest

number of Americans abroad, after Canada and the UK. Americans previously told The Connexion reasons for moving included a “slower pace of life” and a “safe, quiet, clean” neighbourhoods.

Read more: Number of Americans moving to France triples  Tom Trevorrow, a senior foreign exchange broker at Torfx, said: “The dollar has effectively today hit a one-year high on the back of

this result. As soon as Donald Trump pulled ahead in the race, that triggered a sharp rise in Treasury yields on the speculation that his policies would keep US interest rates elevated. “The

markets are reacting to that, as higher rates increase the appetite for currency and if the rates stay higher for longer in the US, that’s supportive of the dollar. Investors believe

Trump’s policies will fan inflation and slow the pace of Federal Reserve interest-rate cuts, ultimately boosting the US dollar.” He added: “The markets are confident with Trump, they

performed well under him before.” An increased selling off of stocks and shares has also boosted the dollar, he said. Moving forward, key factors may include what happens in the war between

Russia and Ukraine, and relations between Iran and Israel, however “instability globally also strengthens the dollar,” he said. “At present for anyone selling euros into dollars, they should

probably wait for a market correction before going ahead, but it’s an excellent time to sell dollars to euros, including if you are selling American property and buying in Europe.” Read

more: Are Britons and Americans still moving to France? Latest data  PRESIDENT MACRON OFFERS CONGRATULATIONS French President Emmanuel Macron offered his “congratulations” to Mr Trump via a

message on X, saying: “Ready to work together as we were able to do for four years. With your convictions and mine. With respect and ambition. For more peace and prosperity”. However, Prime

Minister Michel Barnier told Europeans: "There must be no temptation towards an 'everyone for themselves' attitude, nor towards a focus on bilateral relations [with the US],

but rather on a coordinated European strategy." His comments were echoed by French government spokeswoman Maud Bregeon who told RTL it is time for Europe to “take charge of our own

destiny”. “We must not ask ourselves what the US will do, but what Europe is capable of doing – in a number of key sectors, defence, industrial recovery, decarbonisation,” she said. Mr

Macron also stated he plans to work together with Germany on a “more united, stronger, more sovereign Europe”, while “cooperating with the US and defending our interests and values”. HARRY’S

BAR VOTE GOT IT RIGHT As is the tradition, Harry’s Bar in Paris held its own unofficial election poll in which Americans in France could take part, which resulted in 568 for Trump and 534

for Harris. “We’ve only got it wrong twice in 100 years, which is more reliable than a polling institute,” owner Franz-Arthur MacElhone told French journalists. Read also: US election - what

are the big issues for Americans in France?