UBS analysts indicate that the outcome of the US presidential election could significantly influence European stocks, particularly in sectors like industrials and utilities, depending on whether Trump or Harris wins. A Trump victory may lead to risks for cyclical stocks due to potential tariffs and a rollback of green initiatives, while a Harris win could result in policy continuity, benefiting European equities. Initial market reactions may reflect a shift away from "Trump trades," but long-term trends will likely revert to fundamental economic factors.