President Donald Trump’s latest political turmoil triggered a global sell-off for US markets. The latest criticism to hit the Trump administration is his latest fiasco leaking highly classified information to his Russian counterparts. After the surprise sacking of former FBI Director James Comey sparked huge debate amongst opposition parties regarding Trumps leadership decisions. Thus, overriding pressure was felt today as stocks on major markets sank on his uncertainty to deliver as a President of the United States. This sent hordes of investors running to safe-haven currencies like the Yen and Gold.
The US indices were one of the hardest hit, with the Dow Jones losing over 280 points, -1.3% in one trading session. The knock-on effect sent most US stock in the red, typically sparking investor ‘flight mode’ and onto more safer bets like the Yen and gold. Yen is trading at $111.01 and Gold has soar to over $1260 per ounce. The Nasdaq saw its second consecutive loss in a row after performing exceptionally well over the past two trading weeks.
Despite Trump promising lucrative Tax reforms around the corner, investors have started to hold back on his campaign promises. An eerie nervousness can be felt in the markets and investors will remain even more cautious going forward.