Reward 500 Tiger-coinsUS stocks opened sharply lower, with $NASDAQ(.IXIC)$ plunging 1.5%. Mega-cap tech stocks weakened broadly: Nvidia, Tesla, Amazon, and Meta all fell more than 2%, while Alphabet and Microsoft slid nearly 2%, and Apple declined close to 1%.
It has been one year since Donald Trump returned to the White House. On the surface, markets have delivered a solid outcome, with the S&P 500 rising nearly 16% over the past year. Yet beneath that headline number lies a roller-coaster market defined by sharp drawdowns followed by repeated record highs.
Trump announced via Truth Social that the U.S. will impose 10% tariffs on eight European countries starting Feb 1, with the threat of raising them to 25% by June 1 if a “Greenland deal” is not reached. Markets reacted immediately: gold and silver hit fresh weekly highs, U.S. 10-year yields moved higher, and equities sold off, with major tech stocks under pressure.
Looking back, April’s so-called “Liberation Day” tariffs initially shook markets, but investors quickly reverted to a “buy-the-dip” mindset.
As Trump 2.0 moves into a midterm election year, history becomes less comforting.
Since 1948, the second year of a presidential term has delivered the weakest average S&P 500 performance. Combined with geopolitical tensions and uncertainty around the future leadership of the Federal Reserve, investors are facing a far more complex landscape.
Repeated tariff threats, the prospect of more aggressive rate cuts under a new Fed chair, and the potential for fiscal stimulus form a powerful but risky mix. For markets, this suggests ongoing volatility in the short term, liquidity support over the full year, and rising importance of hedges such as gold as inflation risks are deferred rather than resolved.
Leave your comments to win tiger coins!
In a Trump midterm election year, would you add risk assets, increase hedges like gold, or stick to buy-the-dip trading?
Would TACO happen this week?
Comments
TACO man刚刚发起了另一轮关税表演——如果格陵兰岛协议没有达成，对8个欧洲国家的关税将增加到25%。
股票乘上了快速电梯。黄金和白银冲刺新高。美国10年期国债收益率攀升。
随着2026年美国中期选举，您会增加风险、增加对冲还是逢低买入？
没有正确的答案，只有符合你气质的策略。
我可以做这三件事。购买IAU Gold ETF，继续与USAR等风险资产共舞，然后买入SPYM ETF，将每次抛售视为玉米卷特价。
玉米卷人又来了，又是一年的辛辣不可预测。
@Tiger_comments @TigerStars @TigerClub
In a Trump midterm election year, I’m not rushing to add risk. I’m staying selective with quality exposure while leaning more on hedges like gold $SPDR Gold Shares(GLD)$ —not because I’m bearish, but because inflation risks are being delayed and policy swings are intensifying. Capital preservation matters more to me when policy direction is this unstable.
As for TACO, I still see a high short-term probability. Tough rhetoric often fades once markets react, but even if it happens this week, volatility remains. I’m watching rates and liquidity closely for confirmation.
@Tiger_comments @TigerClub @TigerStars
Check them in the history - “community distribution“
For now, I would stick to buy the dip trading as I bank on taco to happen and would add risk assets for the potential gains. However, I would exercise position control as these are going to be speculative and hence will only allocate a small portion of my portfolio in case I am wrong. Second half of this year and next year might be an end to this as risk would likely escalate.
I typically do not buy gold and prices are now insane. It is a case of demand outstripping supply but gold on its own has no growth so I think I will stay out of gold unless to trade