Reported 9 months ago
In the first presidential debate ahead of the 2024 US election, Trump's performance was deemed better than Biden's, causing a temporary rise in the US dollar. Financial markets predict that if Trump returns to the White House, it could benefit both US stocks and the US dollar. However, his tariff and trade policies may lead to an increase in US bond yields. Trump-founded Trump Media & Technology Group's stock also surged by 8%. Experts believe that Trump's re-election would lead to an increase in deficit due to tax cuts, higher risk premium from uncertain trade policies, and a rise in European defense spending. A survey by Goldman Sachs with 800 global institutional investors concluded that regardless of the party in power, increased government spending would negatively impact the bond market, a Trump victory would benefit the stock market, and a Democrat administration might lead to a weakening US dollar.
Source: YAHOO