European financial markets are experiencing a resurgence after more than a decade of stagnation, as investors reduce their purchases of U.S. assets amid concerns over President Donald Trump's tariff policies. The European Union's focus on infrastructure and defense spending is attracting investors and companies seeking stability, contrasting with the unpredictability of the U.S. market. Former Italian Prime Minister Enrico Letta described Europe as a potential new "land of stability" in light of U.S. market uncertainties. Additionally, European junk bond issuance reached a record high in June, reflecting strong investor demand for assets offering attractive yields and relative stability. Meanwhile, European startups are increasingly challenging U.S. dominance, although reliance on major American technology firms remains a concern under the Trump administration.