Reported 9 months ago
Huang Yanhong and Zheng Yuping/Taipei report on June 28, 2024, 4:10 PM, after the first TV debate between Trump and Biden in the U.S. presidential election, financial institutions believe that regardless of who wins, short-term U.S. stocks may fluctuate, but in the long run, the consensus on rate cuts won't change, differences only lie in the speed of rate cuts, which is bullish for the stock market. Market interpretations of the debate favor Trump, adding to his short-term polls, but the impact on stocks in both Taiwan and the U.S. is minimal, with the focus on upcoming inflation and employment data, CPI, and the Fed's stance on the data. However, post-debate, Trump's chances of winning have increased, potentially causing short-term market volatility if the election favors him, with the potential for increased tariffs on Chinese goods. Overall, regardless of the election outcome, rate cuts are certain, leaning towards a 'dovish' stance in the long run.
Source: YAHOO