Trump effect on global markets

Following the assassination attempt against Donald Trump, who is running for president in the US, transactions that Trump will win the election race have increased in the markets. While the dollar rose, bitcoin rose to a two-week high. The assassination attempt against Donald Trump over the weekend also reverberated in global markets. While the dollar rose against the currencies of the G10 countries, bitcoin rose to its highest level in two weeks, exceeding $62,000. Other Asian stock markets mostly fell on the day when Japanese markets were closed. S&P 500 index futures rose. Mark McCormick from Toronto Dominion Bank said, “The news increases expectations that Trump will win. We maintain our bullish expectation for the dollar for the second half of the year and the first half of 2025.” Saxo Capital Markets Strategist Charu Chanana stated that the possibility of Trump being re-elected as President is priced in as stronger in the markets, and commented, “This could be negative for the yuan and the Mexican peso.” Support for Republicans in the US means looser fiscal policies and higher tariffs, which is causing the dollar to strengthen and bonds to fall. This week, global markets will be following Fed Chair Jerome Powell's speech, the European Central Bank's interest rate decision on Thursday, Eurozone inflation data and speeches by regional Fed Presidents.