A Breakthrough in the Trade War... Markets Catch Their Breath

After years of tensions and mutual tariffs between major economic powers, signs of de-escalation are beginning to appear on the horizon.

Recent data and statements indicate the beginnings of a partial trade agreement, and a reduction in escalation between the United States and China, which gives the markets a signal of hope.

What does this easing mean?

1. Global stability gradually returns:

Market fluctuations, especially in industrial and energy sectors, have begun to decrease due to positive expectations, which enhances the risk appetite among investors.

2. The dollar and yuan breathe:

Major currency prices have stabilized, while some emerging currencies have seen a relatively strong recovery with expectations of reduced economic and political pressure.

3. Gold and cryptocurrencies react:

Gold prices have slightly decreased as a safe haven, while cryptocurrencies have shown upward momentum, particularly those linked to institutional investment like BTC and ETH, due to improved market sentiment.

4. Global trade rebounds:

Shipping companies, suppliers, and manufacturers are rearranging their plans with optimism for the return of supply chains to normal.

Note for investors:

The current calm does not mean the end of the battle, but rather it is just a temporary truce that may reshape the rules of the economic game.

Follow the data, understand the context, and do not rush into decisions.