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Stock futures, dollar steady after FBI says it is investigating another assassination attempt on Trump
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Stock futures, dollar steady after FBI says it is investigating another assassination attempt on Trump
Sep 15, 2024 3:52 PM

NEW YORK, Sept 15 (Reuters) - U.S. stock futures and the

dollar were little changed on Sunday after Republican

presidential candidate Donald Trump was safe following what the

FBI said appeared to be an assassination attempt outside Trump's

golf course in West Palm Beach, Florida.

Secret Service agents engaged a gunman in some bushes near

the property line of the golf course and fired at least four

rounds of ammunition, law enforcement officials said during an

afternoon press conference.

S&P 500 e-minis were down 0.04%. The Dollar Index

, which measures the U.S. currency's strength against six

major peers, was down 0.03% to 101.07.

Bitcoin was 0.7% lower on the day at $59,445. Trump has

positioned himself as a pro-cryptocurrency candidate.

While there was little market reaction to the news, analysts

said the incident had the potential to spur volatility.

"Foreign exchange rates could experience turbulence in the

coming hours as news of a second assassination attempt lands

amid thin trading volumes," said Karl Schamotta, chief market

strategist at payments company Corpay in Toronto.

Asset classes and sectors seen benefiting from a second

Trump term received a boost earlier this year after Trump

survived in an assassination attempt in Pennsylvania on July 13.

The so-called "Trump trade," however, came under pressure

last week after a closely watched debate between Trump and Vice

President Kamala Harris left betting markets pegging a stronger

likelihood of a Harris win in November.

"Perhaps we may see some look to get back into the 'Trump

Trade' if this sees Trump receive a boost in the polls like we

saw after the earlier assassination attempt - boosting both

equities, and the dollar," said Michael Brown, senior research

strategist at online broker Pepperstone, in London.

"That said, with the FOMC looming large on Wednesday,

conviction among market participants will likely be lacking

until we hear from Powell & Co," he said.

Betting markets logged little reaction to the incident on

Sunday, with Harris' odds in PredictIt's 2024 presidential

general election market at 56 cents, while Trump's odds were at

47 cents.

The Federal Reserve is in focus as uncertainty swirls over

how much the U.S. central bank will cut interest rates at its

-Sept. 17-18 monetary policy meeting and the pace at which it

will reduce borrowing costs in coming months.

"The dollar could yet climb on a modest recovery in the

'Trump trade,' but any effect should be relatively modest in

scale," Corpay's Schamotta said.

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