At Trump rates international markets in 2025 – Forecasts for new stock increase of dollar and gold

These are expected to be significantly influenced in 2025 by policies to be implemented by its new government , which takes office as president of the US on 20 January. From the first meeting of the new year on international markets, it became evident that the investor’s look was directed at the second term of elected Donald Trump, awaiting the formulation of his economic policy. So far, analyst predictions are based mainly on his election statements. However, the precise assessment of Trump Effect will only be possible once the specific measures and details of policies that follow are known. CORVERSE Markets will be affected by the progress of the economy in the US, Europe and worldwide, but this will also be affected by Trump’s movements, particularly by the commercial and tariff policy that will follow. On the basis of current data, in 2025 the growth of stock exchanges is expected to continue and further strengthen the dollar against the euro and other currencies as well as gold. Shares were closed with large profits in 2024, with the world index scoring a two-digit growth rate, peaking the American S&P 500 benchmark that climbed 23% with multiple high records during the year. For 2025, the average Wall Street analyst estimate is that S&P 500 will increase 12%. This estimate is based on forecasts for a significant increase in profitability of the enterprises of the indicator and growth of the American economy at a rate below 2.8% of 2024, but above 2%. CORVERSE In Europe, the Euro Stoxx 50 stock index increased last year by more than 8%, with the prospects for 2025 being positively influenced by the further rise of Wall Street, since of course it is confirmed. There is, however, a risk of growth in the Eurozone, which is foreseen by the European Central Bank near 1% this year, but there is a risk that this low rate will not be noted either, if President Trump imposes horizontal tariffs of 10% on European products, as he said before. This, according to the ECB estimates, would reduce GDP by one percentage point, so growth would be zero. However, in Brussels they believe that a damaging trade war can be avoided, which would ultimately affect the US economy, through an agreement to increase imports of liquefied gas from the US. The euro retreated on Thursday at the lowest level of over two years, at the level of $1,026. The forecast is that it will continue to slide against the US currency towards the level of absolute parity or below, because the European Central Bank is expected to lower its interest rates more than the US Federal Reserve (Fed). ECB officials have suggested that interest rate cuts in 2025 will be sufficient, with the aim of helping the wintering economy of the Eurozone, while on the other side of the Atlantic Fed officials predicted only two reductions this year. With the Fed’s main interest rate moving today within the range of 4.25% to 4.5% and the ECB forming 3%, the interest rate spike can increase significantly this year, especially if Trump’s commercial policy increases inflation in the US. Gold scored large profits, of 27%, in 2024, scoring a high level – record in October, approaching intra-sessionly $2,800 an ounce, but after Trump’s victory in the election he retreated below $2,700, due to concern over Fed’s further interest cuts. However, geopolitical conflicts and demand from central banks may lead to new ones, less than 2024, rising this year.