Attempted Assassination of Donald Trump Sparks Market Reactions

Donald Trump was shot in the ear during a campaign rally in Pennsylvania, an incident treated as an assassination attempt. Reactions from investors and analysts suggest the event might impact the election dynamics and market outlook, strengthening Trump’s support and potentially increasing market volatility.

July 14 (Reuters) - Donald Trump was shot in the ear during a campaign rally in Pennsylvania on Saturday, in what authorities are calling an assassination attempt. Despite the alarming situation, the Trump campaign reported he is 'doing well' with no major injury other than a wound on his upper right ear.

Investors and analysts have shared their reactions to this shocking event. John Chambers, former chairman of the Sovereign Ratings Committee at Standard & Poor's, expressed his dismay, warning it may herald a rise in political violence akin to the 1960s, though he does not believe it will impact U.S. ratings due to the strength of U.S. institutions.

Brian Jacobsen, Chief Economist at Annex Wealth Management, noted the potential impact on Trump's campaign strategy and voter turnout. Meanwhile, geopolitical strategist Tina Fordham highlighted the complications it adds to the Democratic election outlook and the potential for increased civil unrest.

Ian Bremmer of Eurasia Group warned of the severe implications for an already polarized USA, while investment professionals like Khoon Goh and Nick Twidale noted possible market reactions, including haven flows and changes in election betting odds, with Trump's probability of winning reportedly surging to 70%.

Financial market analysts predict a stronger U.S. dollar and a steeper U.S. Treasuries curve if Trump wins, with potential volatility in high-growth and inflation-related trades.

(With inputs from agencies.)