Trump's Potential Win Jolts Global Financial Markets: A Dramatic Political Resurgence

Financial markets react to potential election victory of Donald Trump, with U.S. stock futures and the dollar surging. While Wall Street anticipates tax cuts and deregulation, European markets fear trade wars. Treasury yields rise with optimistic bets on Trump's return, reflecting fiscal policy uncertainties.

In a striking turn of events, U.S. stock futures and the dollar surged in Asia amid speculation that Donald Trump could win the U.S. presidential election. Despite the race still being officially undecided, Trump's victories in key battleground states propelled him closer to a notable political resurgence.

Wall Street reacted positively, with S&P 500 and Nasdaq futures climbing over 1%, anticipating potential tax cuts and reduced corporate regulation. Meanwhile, European markets showed apprehension, wary of Trump's tariff policies potentially sparking a global trade war that could challenge EU exports.

As U.S. Treasury yields hit multi-month highs, major betting sites suggested a high probability of a Trump win. Analysts forecast that Trump's immigration and fiscal policies could drive inflation and bond yields upward, contrasting with opponent Kamala Harris' center-left approaches.

(With inputs from agencies.)