Factbox-What's at stake for China's markets at the US election By Reuters

Written by Emily J. Thompson, Senior Investment Analyst

Source: Investing.com

Updated: Oct 29 2024

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Source: Investing.com

Impact of U.S. Elections on China's Currency and Stocks: China's yuan is expected to weaken if Donald Trump wins the presidency, potentially dropping to 7.3 per dollar due to anticipated higher tariffs, while a victory for Kamala Harris may strengthen the currency. The Chinese equity market could see varied reactions, with defense and telecom stocks benefiting from a Trump win, but overall market movements will depend on actual trade policies post-election.
Volatility in Offshore Assets: Hong Kong stocks and U.S.-listed Chinese companies may experience increased volatility as foreign investors react to election outcomes, with potential selling pressure affecting the Hong Kong dollar and the valuation of mainland stocks compared to their Hong Kong counterparts.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.