President Donald Trump’s first 100 days in office have been marked by a rollercoaster ride for the US stock market. The S&P 500, a key indicator of market performance, has experienced significant volatility and uncertainty during this period. After Trump’s reelection in November, there was initial optimism on Wall Street.
Investors anticipated a pro-business boom under the new administration. However, this optimism was short-lived as the president’s unpredictable trade policies began to take effect. The imposition of tariffs on Mexico, Canada, and China by executive order disrupted market stability.
The S&P 500 dropped as concerns over economic growth and trade tensions increased. Investors grew increasingly wary as the market entered correction territory, with major indexes fluctuating significantly. Amid the turbulent market, Bitcoin, the world’s largest cryptocurrency, also experienced sharp reactions to market sentiments surrounding Trump’s economic policies.
Trade policy uncertainty impacts stocks
The cryptocurrency crossed the $100,000 mark for the first time, only to fall below $80,000 shortly after. Treasury Secretary Scott Bessent attempted to ease concerns, indicating that some volatility is normal and the administration is focused on the long-term outlook.
Despite his reassurances, the market faced its worst quarter since 2022, mirroring investor frustrations with the uncertainty of Trump’s trade policies. As the administration continues to evolve its trade strategies, the market remains sensitive to policy changes. Investors and analysts will be closely monitoring the next steps to gauge the long-term implications for the US economy and global trade relations.
Comparing stock market trends under Trump, Biden, and other recent presidents, the S&P 500’s performance helps track the impact of different administrations. During President Biden’s term, market participants will be watching how his policies influence the ongoing performance of the stock market. The first 100 days of Trump’s second term have been marked by the third-worst stock market start to any presidency in US history, only behind Richard Nixon and Gerald Ford.
As the administration progresses, the uncertainty surrounding trade policies and their economic impact will continue to be a key focus for investors and analysts alike.
