Trump deal

"Trump deal" loses steam as investors question the feasibility of tariff proposals

ChainCatcher news, according to Jinshi Data, some asset class investors are gradually reducing their enthusiasm for the "Trump trade" as they question whether Trump will push his ambitious tariff proposals after becoming President of the United States. As of Thursday's close, the dollar has erased most of its post-election gains, and after two days of intense volatility, U.S. Treasury yields have returned to recent ranges. These moves indicate that as investors weigh whether Trump's policies align with his campaign promises, the market may experience fluctuations. As market turbulence settles, the focus is shifting to other significant events.Vishnu Varathan, the head of economics and strategy at Mizuho Bank Singapore, stated, "Even the most fervent 'Trump trade' investors are stepping back now and considering whether the stakes are too high at this point. Traders are thinking about the execution and how some of his policies will effectively disseminate." A key question for investors is how much of Trump's tariff measures will become a reality. Some are also taking profits, including bullish dollar and bearish Treasury trades, which performed well earlier this week due to expectations that Trump's policies would stimulate inflation and keep interest rates elevated.Alvin Tan, the head of Asia FX strategy at Royal Bank of Canada, said, "People are skeptical about whether Trump will really implement the policies he proposed, especially the tariff policies; however, this sentiment may be temporary, as the market underestimates Trump's influence on trade policy— the U.S. President has broad powers to impose import tariffs."

4E: "Trump Deal" reaches a climax, U.S. stocks and cryptocurrencies hit all-time highs

ChainCatcher News: The U.S. election concludes with Trump announcing victory, sparking a surge in "Trump trades" in the capital markets. Funds are rapidly flowing into winners expected to benefit from Republican policies, while anticipated losers are being sold off.According to 4E monitoring, the three major U.S. stock indices hit historic highs on Wednesday, with the S&P 500 index rising 2.5%, marking the largest post-election day increase in history. The Dow Jones rose 3.57%, the largest increase in two years, and the Nasdaq closed up 2.95%, with most tech stocks rising. Tesla's stock price soared nearly 15% overnight, reaching its highest level since July 2023. Trump Media & Technology (DJT), prison stocks, cryptocurrency concept stocks, bank stocks, and energy stocks all surged, while the photovoltaic and new energy sectors, closely related to the "Harris victory concept," faced a complete rout.Trump's victory has triggered a frenzy in the cryptocurrency market, with all cryptocurrencies experiencing significant gains. Bitcoin also surged, reaching an all-time high of $76,400 at one point.The U.S. election concludes with a victory for Trump's camp, and global markets are beginning to engage in a game regarding the "Trump 2.0 era," starting to bet on a scenario of rising economic growth and inflation. Investors are highly focused on tonight's Federal Reserve monetary decision and Powell's speech.It is reported that eeee.com is a financial trading platform supporting assets such as cryptocurrencies, stock indices, bulk gold, and foreign exchange. Recently, it launched a USDT stablecoin financial product with an annualized return of 5.5%, providing investors with a potential hedging option.

Wall Street works overnight for the U.S. election and seeks support from Asia, preventing riots and major changes in "Trump trade" positions

ChainCatcher news, according to Caixin, the outcome of the U.S. election, which could significantly impact policy direction, is uncertain, and Wall Street is on high alert. Trading desks will have staff on duty overnight, and teams in Hong Kong and Singapore are arranged to assist. The "Trump trade" of going long on the dollar and shorting bonds may increase positions or be quickly closed out. Some institutions are taking unprecedented measures for this election. A London-based hedge fund has prepared a "world-shocking" computer model for this moment. Some banks are preparing for the risk of social unrest, no matter how distant that risk may seem; if it materializes, it would shake the U.S., the world, and global financial markets. JPMorgan plans to increase staffing in Europe and Asia to handle overnight trading and volatility; Goldman Sachs expects hundreds of sales and trading teams to work late into the night in New York, with more people ready to work from home.Employees across the industry in the U.S. are preparing for overnight work. As Harris and Trump make their final push to rally voters, American society is polarized, and the election is so tightly contested that the financial industry is simulating potential impacts. Currently, the market believes Trump will win. The stock market is rising, and both the dollar and cryptocurrencies are up. Bond yields are climbing. If Harris ultimately wins, the "Trump trade" could quickly reverse, leading to significant market volatility overnight.
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