Trump's Election Win Throws Markets Into Chaos
World markets are reeling after Donald Trump pulled off a stunning upset to win the 2016 presidential election in the United States.
Bloomberg reported that European shares have fallen the most since the aftermath of the Brexit vote in the UK.
Trump's promises to restrict immigration and re-negotiate NAFTA, as well as his opposition to trade agreements like the TPP, have won the support of voters but have worried investors and trade partners.
As Trump's lead increased against opponent Hillary Clinton, the dollar fell against foreign currencies such as the yen, the peso tanked, and purchases of perceived safe bets, such as gold, increased rapidly.
His policy on international trade has been unpredictable and vague, and such stunts as threatening to pull out of the World Trade Organization have increased fears of his presidency in European markets.
After his victory was announced, the London stock market opened to a 2% loss, with a marked selloff of financial stock like Barclays, The Guardian reported.
Trump's victory speech, which promised to serve all Americans and rebuild the nation's infrastructure, seemed to soothe investors, it added.
After a volatile night, the dollar began to regain strength this morning.
European markets will have to wait and see if Trump's campaign policies, erratic behaviour and anti-free trade sentiment carry through to office.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Karen Henderson. To subscribe to ESM: The European Supermarket Magazine, click here.