Last night, the capital market experienced a "major earthquake"!
The Dow Jones Index opened up 300 points, then plummeted 1100 points; the S&P 500 Index lost 1.5 trillion dollars in market value; the crypto market also couldn't escape, shrinking nearly 300 billion dollars!
All of this surprisingly stemmed from a press conference…
1. TSMC's hundred billion investment, the market panicked!
Trump announced that TSMC will invest 100 billion dollars in the U.S. to build 5 factories, creating thousands of jobs.
Sounds like good news, but the market is worried that this will exacerbate regional tensions, directly triggering a sell-off!
2. New trends in international relations
Meanwhile, a certain country's government stopped funding weapons to a certain region and also plans to relax restrictions on another country.
This move is interpreted as favoritism towards a certain country, worsening the already deadlocked regional situation!
3. Tariff policies cause turmoil
Trump also announced a 25% tariff on multiple countries and new tariffs on imported agricultural products and countries with "currency devaluation."
Even more harshly, the tariff on a certain major country was directly raised from 0% to 20%!
This series of actions completely startled the market, causing the U.S. stock market to evaporate 1.5 trillion dollars instantly!
4. Crypto market strategic reserves a "pipe dream"?
Previously, Trump announced plans to establish strategic reserves for crypto assets such as SOL, XRP, and ADA, triggering a market surge.
But at this press conference, he didn't mention it at all, leading the market to seriously doubt his commitments.
BitMEX founder Arthur Hayes bluntly stated: "A certain institution has no money to buy crypto assets; this is just talk!"
Summary:
A press conference stirred up the global capital market.
Trump's policy "combination punch" caused both the U.S. stock and crypto markets to collapse, resulting in heavy losses for investors.
How will the market react next? Can the crypto strategic reserves still be fulfilled?
Let’s wait and see!
