European banks are facing increased scrutiny and potential stress tests in response to regulatory changes and geopolitical tensions following Donald Trump's election. The European banking sector is particularly concerned about the disparity in regulatory requirements between U.S. and European banks, which may widen in the coming months. French banks are notably anxious about these developments. Additionally, the European Union plans to assess how banks would manage risks associated with geopolitical shocks and trade wars, reflecting a proactive approach to potential external pressures on the financial system. This initiative underscores the heightened vigilance surrounding the banking sector amid evolving economic conditions.