Your Trumponomics Guide

By Murray Dawes, Saturday, 18 January 2025

The big players are already moving huge sums of money around the world in preparation for Trumps arrival. Bond yields are flying higher as the US dollar spikes and oil and copper are on the move. Murray outlines all the key levels you need to watch as Trump turns the rules of the game upside down.

With Trumps inauguration just days away it is clear some big players are making moves.

The biggest story is the large jump in long-term bond yields as the US dollar also heads north.

At the end of 2024 I set out my view that the US dollar would keep rallying as the Aussie dollar slumped. That call is looking good for now.

If US 10-year Bond yields keep rising and break out above 5% there is the chance we could see a spike higher in yields. That would really cause some problems for the stock market.

But as I point out for you in today’s Closing Bell video, we have to be prepared for anything from here because the rules of the game are about to change.

We don’t know what those rules will be, and we don’t know how the market will react.

Now is not the time to stick your neck out and make big calls about future market direction.

Instead it is a time to study where the lines in the sand are above and below the market, so you can change tack quickly if necessary.

Will Trumps tariffs and tax cuts cause a serious trade war that hurts everyone and forces rates higher? Or will his business friendly policies spark a massive bull market?

Currency and bond markets are hinting at the former whereas oil and copper point to the latter.

I would prefer to have my foot in each camp for the moment so I can jump quickly when the time comes.

In today’s Closing Bell I prepare you for Trumps inauguration and the new world we are all heading towards.

I cover US bonds, the US dollar, The Aussie dollar, Japanese 10-year bonds, the USDJPY (US dollar vs Japanese yen), oil and copper.

I’ve put together insights from my 30+ years of trading that will help you navigate Trumponomics.

I believe that the key to high returns without stress, is knowing you can survive any market conditions. To do that you need a risk management process that handles immense volatility.

I put this into action in my service Retirement Trader.

You can learn more about my approach by clicking here to get access to 30 years of trading knowledge.

Regards,

Murray Dawes Signature

Murray Dawes,
Editor, Retirement Trader and Fat Tail Microcaps

All advice is general advice and has not taken into account your personal circumstances.

Please seek independent financial advice regarding your own situation, or if in doubt about the suitability of an investment.

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Murray Dawes is our resident expert trader and portfolio manager. He is a former Sydney Futures Exchange floor trader who went on to design custom trading systems and strategies for ultra-wealthy clients (including one of Australia’s richest families). Today, his mission is to help ordinary Aussie investors make profitable investments, while expertly managing risk.

He uses his proprietary system for his more conversative and longer-term-focused service Retirement Trader…and then applies the same system to the ultra-speculative end of the Australian market in Fat Tail Microcaps (this service is strictly limited and via invitation only).

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All advice is general in nature and has not taken into account your personal circumstances. Please seek independent financial advice regarding your own situation, or if in doubt about the suitability of an investment.

The value of any investment and the income derived from it can go down as well as up. Never invest more than you can afford to lose and keep in mind the ultimate risk is that you can lose whatever you’ve invested. While useful for detecting patterns, the past is not a guide to future performance. Some figures contained in our reports are forecasts and may not be a reliable indicator of future results. Any actual or potential gains in these reports may not include taxes, brokerage commissions, or associated fees.