Dollar Could Jump 3% Against Euro on Trump Victory, MUFG Says

The transcript discusses the potential impact of political changes, specifically a Trump or Biden victory, on financial markets. It highlights how FX markets are pricing in these political scenarios, with a focus on currency divergence and valuation models. The analysis suggests that a Biden victory could lead to a weaker dollar due to trade policy implications, while a Trump victory might strengthen the dollar and reintroduce tariff risks.

In what ways could the risks of tariffs influence market behavior?

What fiscal implications could arise from a Republican win in the House?