MORNING BID EUROPE-World struggles to digest Trump win

* A look at the day ahead from European Economics and Politics Editor Mark John and EMEA markets editor Mike Dolan. The views expressed are their own.

LONDON, Nov 9 (Reuters) - Less than six months after the Brexit vote, the political establishment of the West has taken another body blow with the Donald Trump U.S. presidential victory. Much ink will surely be spilled on the "why did it happen?" but this morning policy-makers and investors are already trying to grasp the implications. A core theme of the government reactions so far is that they simply do not know how to what extent any of Trump's campaign pronouncements will translate into actual policy -- on the Middle East, Iran, Russia, security, trade, climate change. While markets slide, populists everywhere have a spring in their step. "Today the United States, tomorrow France," tweeted French National Front founder Jean-Marie Le Pen (Other OTC: PENC - news) .

MARKETS AT 0755 GMT

Trump confounds the polls, pundits and markets to win the White House and the Republicans take a clean sweep of both houses of Congress too. World equity markets have dived, with Wall St stock futures down about 4 percent and European futures down by a similar amount. Tokyo's Nikkei fell more than 5 percent, exaggerated by the yen's surge on the dollar. The Mexican peso dropped more than 10 percent at one point before stabilising and there's a predictable safety bid across the board in short-term Treasury bonds, gold, Japanese yen. Apart from against the peso, the dollar is lower across the board. Futures markets have dialled back the likelihood of a Fed interest rate rise next month to less than 50 percent. Brent crude fell below $45 for the first time since August before stabilising. The surprise factor in markets mirrored the June 23 Brexit vote, although the scale of the moves so far have been slightly more contained - partly due to Fed implications. For sterling, read the Mexican peso. Volatility will now jump across the board as investors try to figure out what President Trump does next. The big question is whether he stands by his campaign promises to end big trade deals, cut immigration and boost fiscal spending. Those who watched the post-Brexit vote play out will be mindful that forecasts of a sudden stop in economic activity due to uncertainty were not borne out and the economic numbers in the UK since have held up well. Curiously, the U.S. yield curve has steepened - although it's not clear whether that's down to longer-term growth expectations or doubts about Trump's willingness to honour Treasury debt over time. But there are myriad questions over the coming weeks. Who will Trump bring into his cabinet, at Treasury, State Department etc. Will he stand by Fed chair Yellen, whom he criticised during the campaign amid broadsides against ultra-low Fed interest rates? No firm names were in the frame before the vote. The clean sweep in Congress will also raise questions about the 'checks and balances' many have assumed would rein in a Trump White House in some of its more radical agendas. Sector-by-sector, pharmaceutical, energy, infrastructure and defence stocks are expected to do well and banks may benefit too from possibly a less hardline stance on regulation. Companies exposed to international trade and emerging markets will be watched on the downside.

Upcoming events/data/themes for market reports on Wednesday:

* World markets (Frankfurt: 4WM.F - news) react to US election results

* Europe corp events: Carlsberg (LSE: 0AI4.L - news) , E.On, Sainsbury (Amsterdam: SJ6.AS - news) , Burberry, SSE (LSE: SSE.L - news) , Natixis (LSE: 0IHK.L - news) , Tullow production update, Alstom (LSE: 0J2R.L - news)

* Germany auctions 2-year notes

* UK Sept trade data

* European Commission Autumn economic forecasts

* ECB chief economist Praet speaks in Brussels

* Croatia central bank policy decision

* US Q3 earnings: Viacom (Frankfurt: A0HM1Q - news) , Mylan (Hamburg: 27249935.HM - news)

* Mexico Oct inflation report

* Minneapolis Fed chief Kashkari speaks

* US Treasury auctions 10-year notes

(editing by David Stamp)