The question facing markets now is: what next?
Win for Republican poses questions for the dollar, gold and US equities.
It took just over eight hours for currency markets to abandon the prevailing logic of the past month – that a Donald Trump presidency would be bad for the dollar against its major peers.
Trading in US dollars vs. Mexican pesos spiked to 63 times normal levels between 02:00 and 03:00 GMT when results for key states in the American elections were announced.
The dollar hit its highest level against the Japanese yen in nearly four months, as US Treasury debt yields touched multi-month highs following Republican candidate Donald Trump’s victory in the presidential election.
The Chinese yuan plunged to a fresh six-year low against the dollar, tracking a broad rally in the greenback after Donald Trump won the US presidential election.
Sentiment toward most emerging Asian currencies remained bearish in the last two weeks and is unlikely to recover soon as Donald Trump’s victory in the US presidential election adds to concerns about the region’s exports and ties with Washington, a Reuters poll showed.
Activity in interbank forex set to exceed levels seen after UK referendum and Swiss franc shock.
Japan’s government has been saying that it will take bold action against excessive currency moves when necessary, Masahiko Shibayama, an adviser to Prime Minister Shinzo Abe, said.
We will likely see more flash moves in the FX markets in the coming two or three months.
In what is being seen as a surprise move, Navinder Singh Sarao, the UK-based day trader accused by US authorities of spoofing markets and contributing to the May 2010 flash crash in US equities, has pleaded guilty in a US court appearance following his extradition from the UK.
The past 24 hours have proved an entertaining, and at times disturbing, display of the US Democratic process as the Electoral College resoundingly came up Trumps.
There could also be significant changes in the country’s regulatory landscape that financial services firms need to consider.
Once the uncertainty settles down, however, financial institutions are likely to embrace Trump’s deregulatory stance.
But the election win creates uncertainty about regulations banks have spent billions implementing since the financial crisis.
Lawyers question whether contentious algo trading regulation on source code access will be enacted.
President-elect seen naming critics of Barack Obama’s response to financial crisis to positions at nation’s top markets regulator.
European regulator’s clarifications could be the last that firms get before directive goes live in 2018.
Brazil’s central bank will not hold any reverse currency swap auctions for a second day after performing them almost daily since late last year, it said in a statement.
Early indications from FX trading platforms suggests all saw a good boost to activity during the US election results sequence.
Banks, stock exchanges and brokers enjoyed a surge in trading volumes after a surprise victory for Republican presidential candidate Donald Trump sent investors scrambling to reposition their portfolios.
The Mexican peso sank to a record low in the wake of Donald Trump’s unexpected victory in the US presidential election, while the Russian ruble shot higher.
Most emerging Asian currencies fell on the dollar’s rebound on higher US Treasury yields, while concerns grew over negative impacts on regional exports and relationships with Washington after Republican Donald Trump won the presidency.
The CAD to USD exchange rate has been meet with increased volatility following a surprise win for Republican candidate Donald Trump in the US elections.