Tariffs, TACOs, and dollars

Global markets in a year of Trump 2.0.

One Essential Read One Essential Read Recommended by Kate Turton, Newsletter Editor Since Trump election global markets have had to navigate policy shocks   After US President Donald Trump defeated Democratic rival Kamala Harris on November 5, 2024, the dollar roared higher, along with stocks and bitcoin, while Treasury yields rose, as investors priced in the likelihood of greater strain on US finances. Since then his administration has struck deals on trade, while upending global supply chains and decades of post-war international diplomacy. Investors are learning to ride out the unpredictability, including finding ways to trade Trump's tendency to amp up threats only to later back down. The so-called TACO trade - "Trump always chickens out" - has become a feature. Here is a snapshot of where major markets are now, compared to when Trump was elected. Read the full article Sponsors are not involved in the creation of newsletters or other Reuters news content. Advertise in this newsletter or on Reuters' website Reuters One Essential Read is sent three days a week. Think your friend or colleague should know about us? Forward this newsletter to them. They can also sign up here. Want to stop receiving this email? Unsubscribe here. To manage which newsletters you're signed up for, click here. This email includes limited tracking for Reuters to understand whether you've engaged with its contents. For more information on how we process your personal information and your rights, please see our Privacy Statement. Terms & Conditions © 2025 Thomson Reuters. All rights reserved. 3 Times Square, New York, NY 10036