Markets react to Trump victory with mixed signals in stocks, bonds, and currencies

Donald Trump’s victory over Kamala Harris has led to varied reactions in financial markets. Wall Street strategists are analyzing potential policy impacts, with financial and tech sectors showing gains, while bonds and currencies are experiencing volatility. The bond market reacted quickly, with the 10-year yield rising from 4.3% to 4.45% amid concerns over higher budget deficits. Currency markets also shifted, with the dollar strengthening and other currencies like the euro and Mexican peso declining due to anticipated tariffs. Gold prices have not dropped as much as expected, despite a stronger dollar. Analysts suggest that ongoing uncertainty may be influencing gold's performance, which has decreased by 2% since Election Day.