SANISHA PACKIRISAMY: Trump vs Harris — what it means for South Africa
Turbulence or co-operation are just two of the possible outcomes, with the balance of power in the US Congress expected to play a vital role
As the US election approaches, the stakes are high for South Africa and other emerging markets. A second term for Donald Trump could bring economic turbulence, while a victory for Kamala Harris might foster international co-operation. Each path presents unique challenges and opportunities for Africa, with the balance of power in the US Congress likely to shape future policies.
Financial markets previously rallied under Trump’s pro-deregulation policies, boosting stock indices to new heights. However, for emerging markets, this bullishness masks potential pitfalls. The prospect of capital flight from these riskier markets could put pressure on currencies such as the rand, complicating efforts to manage inflation effectively. Trump’s capricious trade and foreign policy could add fuel to the fire, sparking erratic shifts in investor sentiment. ..
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