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How Trumponomics has shaken global markets: From falling dollar to soaring gold and crypto, here's what experts are saying - The Economic Times

Published 7 hours ago2 minute read
How Trumponomics has shaken global markets: From falling dollar to soaring gold and crypto, here's what experts are saying
ET Online
How Trumponomics has shaken global markets: From falling dollar to soaring gold and crypto, here's what experts are saying
In just a few months since taking office, US President Donald Trump has turned the world’s financial markets upside down. From falling stocks and a weak dollar to rising gold and crypto, investors around the world are reacting quickly, and nervously, to his unpredictable economic decisions.Here’s a simple look at the ups and downs:

Wall Street isn’t doing as well as it used to. The S&P 500 has only grown by 2% this year. In comparison:
As per experts quoted by AFP this slowdown is due to Trump’s constant changes on tariff policies, which have caused uncertainty for investors.The US dollar has lost 10% of its value against the euro in just six months, its worst drop in 30 years.
The main reasons?
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Some suggest that other currencies like China’s yuan or the euro could replace the dollar, but there are hurdles. The yuan isn’t freely traded, and the eurozone still has internal differences.

For years, US government debt was seen as one of the safest investments in the world. But now, experts are worried.
Some now believe US bonds are no longer a guaranteed safe bet during global crises.When markets get shaky, investors turn to gold, and this time is no different. Gold prices have jumped nearly 30% this year, as people seek safety.
Trump has also shown support for cryptocurrencies, helping to bring them into the mainstream. After his election win:
Trump wanted lower oil prices to ease US inflation. In April, oil dropped below $60 per barrel, its lowest since 2021. But recent military tensions between Israel and Iran have pushed prices back up to around $75 per barrel. Global markets are reacting in all directions, and investors are watching closely to see what Trump does next.

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