How Trump’s fiscal and trade policies may impact markets

With Donald Trump back in office, his administration is expected to emphasise fiscal expansion through tax cuts, trade protectionism, and support for domestic manufacturing. Trump's policy framework could drive up the federal deficit, particularly with a commitment to renew all tax cuts from the 2017 Tax Cuts and Jobs Act, alongside additional corporate tax reductions. Trade policies may see heightened tariffs, especially on Chinese imports, and a focus on reshoring manufacturing. These priorities will shape the economic landscape, with potential impacts on inflation, interest rates, and...