After last month’s debate debacle, financial markets wrote down the odds of his return to the White House. This month, however, his prospects, as seen by the markets, appear to have strengthened significantly.
With less than two weeks to go before the US election, financial markets are flagging a victory for Donald Trump.
His trade policies – baseline tariffs of up to 20 per cent on all imports, a 60 per cent tariff on imports from China and threats of a tariff of up to 200 per cent on imports of cars from Mexico have implications for stocks, bonds and currencies, and would reverberate through global markets and the world economy.
The US dollar has strengthened more than 3.5 per cent this month against America’s major trading partners’ currencies. The yield on 10-year US Treasury bonds has increased from 3.7 per cent to 4.2 per cent, the term premium has blown out significantly, and the US sharemarket has risen 2.5 per cent over the same period.
After last month’s disastrous debate with Harris, the stock initially plunged 14 per cent. This month it has more than doubled, restoring/adding around $US2 billion to his paper fortune. The combination of the higher inflation caused by his tariffs and the blow-out in US government debt as a result of his tax policies will force US interest rates up sharply, which in turn will strengthen the US dollar.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
How election deniers have infiltrated the race for the White HouseFour years after Donald Trump claimed the 2020 election was stolen from him, the Republican candidate and his allies are actively sowing seeds of doubt about this year’s vote.
Read more »
How election deniers have infiltrated the race for the White HouseFour years after Donald Trump claimed the 2020 election was stolen from him, the Republican candidate and his allies are actively sowing seeds of doubt about this year’s vote.
Read more »
How election deniers have infiltrated the race for the White HouseFour years after Donald Trump claimed the 2020 election was stolen from him, the Republican candidate and his allies are actively sowing seeds of doubt about this year’s vote.
Read more »
CCTV footage shows white SUV leaving before fatal house fireNew CCTV footage has emerged showing a white SUV leaving the Bayside Court complex three minutes before a fatal house fire on Sunday morning, killing eight-year-old Raven and her 31-year-old babysitter Stephanie Ryan. Police are reviewing the footage and have spoken to the driver of the vehicle, but no suspects have been identified at this time.
Read more »
‘Kind of in the White House’: Truss takes swipe at Biden at major political eventFormer UK prime minister Liz Truss has taken a swipe at US President Joe Biden as she addressed a major political conference in Queensland.
Read more »
‘Just trying to survive’: How a hurricane may decide who wins the White HouseFarrah Tomazin is on the ground in North Carolina, a battleground state where Donald Trump and Kamala Harris have been statistically tied for months.
Read more »