Two winks to investors slid by President Donald Trump have been received with great relief in the markets. The reversal of the US president in his threats to dismiss the president of the Federal Reserve, Jerome Powell, along with his favorable manifestations to reduce tariffs to China have meant an oxygen ball for investors in need of good news. Thus, the sale of American assets, a trend that has accentuated with the last tunes of Trump, throws the brake and opens the door to solid climbs not only in the US, but also in European stock exchanges. The market adopts a positive tone that shows in the improvement of US debt and in the increase in the dollar. Now, after three months of Trump’s mandate, investors know that uncertainties remain very high, trade negotiations do not show tangible advances and are still waiting for volatility episodes because of the drifts of the White House. No one dares to launch the bells on the flight. The Variable Income Market welcomes the Trump administration change in two of the most thorny recent fronts: the Fed and the pulse with China. And the indices are scored by strong increases. Wall Street, with the S&P 500, opens with profits of more than 2.5%, while the Nasdaq technology adds more than 3.5%. European stock markets are infected with good tone, although Ibex is left behind, with an advance of 0.9%, less than 2.4% of the Euro Stoxx 50 and the German Dax. “Although it is still early, the mood in the market is obviously changing and what yesterday was a strong tendency to sell in the United States has been reversed in part,” says Reuters Chris Weston, head of research at the Pepperstone analysis house. “The markets are getting used more and more for the president to be impulsive and then change his position as if nothing,” he adds. Trump has stated that he has no intention of fire Powell, although he has insisted that the Fed should be faster in cutting interest rates. He also reduced the tone with respect to China and declared on tariffs to the Asian giant, currently set by 145%, which “will fall considerably, but will not be zero.” And he indicated in the search for meeting points: “We are going to be very friendly and they too, and we will see what happens.” The statements are added to those of the US Secretary of the Treasury, Scott Besent, who said that he believes that there will be a “descaled” in commercial tensions between the United States and China, but that negotiations with Beijing have not yet begun and will be a slow process. More quieter, ”Russ Mould, investment director of the AJ Bell firm, a indication of the investors’ suspicions regarding Trump’s turn, is the evolution of the dollar: although the US currency shot at dawn against the rest of the coins, the profits have been diluted as the session progresses. After Trump retracted from the foothold of the president of the Fed, Jerome Powell, the dollar came to rise more than 2%, until at noon the advances do not reach 0.2% and the euro has recovered $ 1.14. The Executive’s proclamation against the Central Bank, started last week, has unleashed a credibility crisis that led the dollar to minimum levels of three years. The dollar also rises against refuge coins as Swiss Franco or Japanese, although also at a lower pace than in the early hour. “If we are optimistic, we can think that Trump is slowly retreating in commercial matters and in the dismissal of Powell,” Gillles Guibout, European Variable Variable Rent Director of the Axa IM manager, tells Bloomberg. “But (the president) has a structural tendency to generate uncertainty and now there is a real challenge among international investors, and that is palpated in the dollar,” he adds. The pressure is also reduced in fixed income and the prices of treasure bonds rise, which cuts the profitability, that is, the gain of investors who maintain the titles. The profitability of reference bonds at 10 years low seven basic points, up to 4.3%, another signal of the best market tone. The gold, shelter par excellence, goes back to 3,350 dollars ounce from the historical maximum of $ 3,500. However, precious metal prices have risen up to 30% so far from 2025, a symptom, experts say, that operators continue to distrust that the worst of the commercial war has already happened. Within the Spanish market, the greatest advances are for some of the most penalized values since the commercial tension was aggravated at the beginning of April. Enter the companies that go up are the IAG Air Group (owner of Iberia and British Airways) and also the Arcellorormittal Acerera. On the side of the falls, the worst part is for the electricity sector, such as Iberdrola and Endesa, with declines of about 1%. In the market of raw materials, oil remains with hardly any changes. The Brent, reference in Europe, drops 0.3%, and is around $ 67 per barrel, while the American crude is on throne at $ 63 per barrel. In the business level, the focus is also on the presentation of results. The actions of the Electric Car manufacturer Tesla rise about 5% in the pre -opening of the US market, although the benefits presented yesterday did not meet the benefit expectations. However, the action benefits from Elon Musk’s announcement that he will spend less time working for the US government. On the other hand, the actions of the German Technology SAP, the largest capitalization in Europe, record their greatest rise in six years after the first quarter’s profits exceed analysts’ estimates. The British multinational cleaning and consumption products Reckitt Benckiser falls after announcing a disappointing sales growth. Bolsas – currency – Debt – interest rates – raw materials (tagstotranslate) Bag
Wall Street and Europe rise strongly after Trump’s conciliatory turn with the Fed and in the commercial war | Financial markets
