Markets have continued to react to Trump’s re-election with bitcoin hitting an all-time high on Tuesday. In addition, a Quartz study revealed that following Trump’s victory, shares of JPMorgan and Citigroup rose 8%, Wells Fargo rose 12%, Bank of America rose 7%, Morgan Stanley rose 9%, and Goldman Sachs added 10% respectively.
Stefan Gratzer, MD at JPMorgan has a key opinion that Donald Trump‘s second coming could have “quite an impact” in the first two years if tax, deregulation, and cryptocurrency policies are changed.
Speaking at a conference in Kuwait on Sunday, Gratzer said “One really differentiating thing Trump had in his policy was about crypto, so let’s see how this plays out. This could be completely new, and nobody knows what this is going to mean. There’s a lot of talk about deregulation that is obviously beneficial for banks like us at the moment but again, we need to see.”
With the Federal Reserve leaning towards an easy-money attitude, there has been a lot of optimism that Trump’s pro-growth pledges, which are centered on tax cuts and deregulation, could unleash yet another round of economic gains. Many anticipate that Trump‘s policy pledges, which include a slew of tax cuts, will accelerate economic expansion and bring in new business for lenders.
