The impact of Trump’s victory in the market
We have prepared a reflection—which we had been developing for several weeks—on the impact of Trump’s victory in the market to try to explain, in simple terms, which sectors of the market are most affected, both positively and negatively, by the U.S. election results and what we can expect in the short term.
At this point, it’s widely known that some of Trump’s main intentions for his term include curbing illegal immigration, revitalizing American industry (for which he plans to use tariffs), and reducing corporate taxes (despite the current fiscal situation), along with specific stances on defense spending, renewable energy, Bitcoin, M&A activity, and more.
All of this affects different types of assets, regions, and sectors of the economy in various ways, and in fact, during these first three days in the market, we’ve already observed a marked difference in capital flows.
