Bond yields spiked higher on the prospect of a Trump victory in the US Presidential election and the USD surged.
Despite higher bond yields, equity markets rallied on the expectation of corporate tax relief under a Trump Administration and/or the absence of any increased corporate taxes that may have been instituted under a Harris Administration.
A little surprisingly in my view, gold prices declined sharply while its latter-day relative – crypto – surged. Of course, gold is generally challenged by rising bond yields (as are equities) and by an appreciating USD, so the knee-jerk reaction is understandable. Crypto surged on the prospect of lighter regulatory oversight.
Read Stephen’s ‘On the other hand’ here
