USD, Bitcoin Increase After Trump Assassination Attempt, Predicting Higher Chances of Trump's Victory

USD, Bitcoin Increase After Trump Assassination Attempt, Predicting Higher Chances of Trump's Victory

The prices of the US dollar and Bitcoin have risen following an attempted assassination on former President Donald Trump, increasing expectations of his potential victory in the upcoming election.

The Dollar Index, which measures the strength of the US dollar against a basket of major currencies, increased by 0.2%, reaching 104.3 points. US government bond yields also rose, as investors believe that Trump's economic policies will accelerate inflation and national debt.

Trump's commitments to raise import tariffs could push prices higher. Meanwhile, his stance on restricting immigration is expected to further tighten the US labor market, adding pressure to wage increases.

Investors now think the assassination attempt on July 13 will boost Trump's chances of winning the election, while also increasing geopolitical risks in the market. Experts suggest that Trump's clenched fist gesture after the failed assassination attempt symbolizes his resolve and ability to handle difficult situations.

"Market reactions to Trump's election prospects are evident in the strengthening USD and rising government bond yields. We will see this trend more clearly this week if his chances of winning are perceived to increase following last week's event," said Rong Ren Goh, portfolio management director at Eastspring Investments (Singapore).

US stock futures indices, including the S&P 500 and Nasdaq, both increased by 0.2%. Bitcoin surged above $61,300 per coin this morning, the highest level in two weeks, driven by the candidate's pro-cryptocurrency stance.

This week, the US market will receive several important reports, including retail sales, industrial production, housing starts, and unemployment claims. Investors predict a 94% chance that the Federal Reserve will cut interest rates in September.

In Asia, the Japanese market is closed today for a holiday. Other markets showed mixed performance, with South Korea's Kospi nearly flat and Australia's S&P/ASX 200 up 0.9%.

This morning, China will release its Q2 GDP data. The world's second-largest economy is forecast to grow by 5.1%, lower than Q1. China's June retail sales and industrial production figures will also be announced.

On the commodities market, global gold prices fell slightly compared to the end of last week. Each ounce dropped by $4, down to $2,406. Meanwhile, crude oil prices edged up, with Brent rising by $0.2 to $85.3 per barrel and US WTI crude increasing by $0.3 to $82.5 per barrel.