Although, global financial markets were rattled in early trade after Donald Trump was declared winner of the U.S presidential election, the equities market have remained calm as fears of a Brexit-style remain under control, The Telegraph reports.
The Mexican peso, which has become the gauge for sentiment on the election, plunged by more than 13pc to an all-time low against the dollar, its biggest daily move in two decades.
The US dollar also took a battering, plunging 2.6pc to 102.350 against the yen, while the greenback lost 1.6pc against the Swiss franc. Meanwhile, the euro rallied to its highest level in two-months, climbing 1.8pc to $1.1225.
Investors piled into safe-haven assets. Gold enjoyed its biggest daily rally since the Brexit vote, as investors shunned risky assets after markets priced-in a Clinton victory.
In Asian trading, Japan’s Nikkei surrendered 5.4pc, while the Shanghai Composite index dropped 0.6pc. European bourses also faltered, with the FTSE 100 opening down 2.1pc, Frankfurt’s DAX shed almost 3pc and the CAC in Paris dropped 2.8pc.
However, the market retreated from sharp losses after traders said Trump’s acceptance speech was balanced and conciliatory.
Kathleen Brooks, of City Index, said: “The first speech by President elect Trump has had a calming effect on the markets. “This suggests that a win for President Trump is not yet America’s Brexit moment.”
With global markets rattled by the prospect of a Trump presidency, chances of a Fed rate hike in December slumped from 80pc to 47pc.
