European consumer stocks with significant international exposures struggled to keep pace with the broader markets Wednesday as President-Elect Donald Trump's views on trade agreements spooked investors.
Throughout the campaign Trump had vowed to pull out of or renegotiate trade deals, including the Trans-Pacific Partnership and NAFTA, warning on that latter that if partners "don't agree to a renegotiation, we will submit notice that the U.S. intends to withdraw from the deal."
Exposure to Mexico could be a key concern for many companies and Trump has already hit out at Mondelez International for its Mexican production.
AB InBev (BUD) , which owns Mexico's leading brewer Corona-maker Grupo Modelo and controls 63% of the country's beer market, saw its shares fall 1.5% by late afternoon in Amsterdam, despite broader market gains in both Europe and the U.S. The group also has a controlling stake in Cerveceria Nacional Dominicana.
The Mexican peso has lost since the results of the election were revealed earlier today. The currency is trading 10.4% lower at 20.23 per greenback. It had weakened to as low as 20.78 per dollar earlier in the night.
Consumer giants in various sectors also suffered in volatile trading Wednesday, with luxury goodsmaker L'Oreal (LRLCY) down 2.5% and brands giant Unilever (UL) was down 2.33% in late afternoon trading as investors bet Trump's win may increase uncertainty among shoppers who may hold back spending in the upcoming holiday season.