The EU's response to America's 10% tariff announcement is just the opening move. What's really playing out here is what game theorists call a multi-round negotiation—each side calibrating its next move based on the other's strategy. These aren't one-off trade adjustments; they're calculated steps in a prolonged standoff. Market participants are watching closely, as tariff escalation tends to ripple across asset classes and reshape capital flows. The real intensity kicks in when both sides sit down for serious talks. This is the kind of policy uncertainty that reshapes portfolios.