{"id":75840,"date":"2025-10-13T14:40:08","date_gmt":"2025-10-13T14:40:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/75840\/"},"modified":"2025-10-13T14:40:08","modified_gmt":"2025-10-13T14:40:08","slug":"trump-shows-he-still-reigns-supreme-when-it-comes-to-moving-markets","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/75840\/","title":{"rendered":"Trump Shows He Still Reigns Supreme When It Comes to Moving Markets"},"content":{"rendered":"

You would be forgiven for thinking lately that AI is the only thing markets care about<\/a>. <\/p>\n

Exuberance around AI technology has fueled a face-melting rally in stocks this year, but President Donald Trump reminded investors of two things on Friday: the trade war is still a risk, and\u2014more importantly\u2014Trump is still king when it comes to moving markets. <\/p>\n

Last week, Trump said that he would raise tariffs on Chinese goods to 100%<\/a> after earlier threats posted on Truth Social sent the S&P 500 plummeting 2.7% and oil down almost 4%. The 10-year Treasury yield plunged almost 10 basis points as investors fled to safe havens. <\/p>\n

The development also kicked off a tailspin in crypto markets that accelerated into the weekend, with the price of bitcoin falling by 13% and ethereum dropping 15%.<\/p>\n

But a familiar pattern played out by Sunday evening. Trump took to Truth Social again to soothe investors worried about what Monday’s open might bring. <\/p>\n

“Don’t worry about China, it will all be fine!” he wrote<\/a>. “Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I. The U.S.A. wants to help China, not hurt it!!! President DJT.”<\/p>\n

Assets jumped in response, with futures turning green on Sunday night and rallying at the opening bell on Monday. The S&P 500 was up 1.2% at market open, while oil was up as much as 3% on Monday morning. Bitcoin, meanwhile, was up by about 3% to trade above $115,000. <\/p>\n

Here’s where major indexes stood around 10 a.m. ET on Monday: <\/p>\n

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S&P 500<\/a>: 6,649.16, up 1.5%<\/p>\n

Dow Jones Industrial Average<\/a>: , up 45,951.97 1% (+472.37 points)<\/p>\n

Nasdaq Composite<\/a>: 22,645.11 up 2%<\/p>\n

Friday’s sell-off could be a sign that investors are on edge about potential downside catalysts with valuations, by some measures, at record highs.<\/p>\n

“While stocks have largely moved on from the tariff tantrum of April, Friday’s market decline is an important reminder that trade tensions are still in the background and can cause bouts of short-term volatility,” said Richard Saperstein, chief investment officer at Treasury Partners, on Monday. “When stock valuations rise, like they have in recent months, they can be more prone to a headline-driven decline.”<\/p>\n

Others said the re-escalation of the trade war was an important catalyst for an overdue correction after a monthslong rally. <\/p>\n

“The set-up for a correction within this new bull market was in place given elevated positioning, valuation anxiety, and seasonals. Unexpected trade escalation provided the catalyst. If we don’t see near-term de-escalation, we think a larger than expected correction is likely,” Morgan Stanley chief investment officer, Mike Wilson, wrote in a note. <\/p>\n","protected":false},"excerpt":{"rendered":"You would be forgiven for thinking lately that AI is the only thing markets care about. Exuberance around…\n","protected":false},"author":2,"featured_media":75841,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[138,220,111,139,69],"class_list":["post-75840","post","type-post","status-publish","format-standard","has-post-thumbnail","category-markets","tag-business","tag-markets","tag-new-zealand","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/75840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=75840"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/75840\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/75841"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=75840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=75840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=75840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}