Traders betting that Donald Trump will defeat Kamala Harris in the US presidential election sent the dollar to its highest level since July, also pushing up 10-year US Treasury yields.
With several key states still undecided, the 10-year yield reached 4.44 per cent late on Tuesday evening. The 30-year yield hit 4.6 per cent, its highest in four months.
“The early trades are favouring Trump,” said Andrew Brenner, head of international fixed income at NatAlliance.
Mexico’s peso, which often suffers when Trump is perceived as doing well, slid about 3 per cent, weakening to a two-year low of 20.7 pesos against the dollar. Japan’s yen fell about 1.3 per cent to almost ¥154 a dollar, its weakest in nearly a week.
Jitters reverberated across markets and investors fretted over the election’s implications.
Bitcoin, considered a “Trump trade” on the belief that the former president would regulate cryptocurrencies lightly if elected,…
