European currencies are taking a leg up on Wednesday as the dollar tanks thanks to Donald Trump’s seemingly imminent victory in the US Presidential election.
In early morning trade, around 6.35 a.m. GMT (1.35 a.m. ET), the pound, euro, and the Swiss franc are significantly higher against the greenback, benefitting from the weakness caused by Trump’s shocking lead in polls, and the fact that he is only a handful of electoral college votes away from the White House.
The euro has gained just over 1.9% on the dollar so far in trade. Here’s how that looks:
Switzerland’s franc, traditionally seen as a safe haven in times of turmoil has picked up 1.8%
And the pound — which has endured its own struggles in recent months following the UK’s vote to leave the EU — is around 0.8% higher to trade close to $1.25:
Trump and his economic positions are seen as far less predictable than those of Hillary Clinton, and do not always follow party orthodoxy. As such he is perceived as more of a political risk than Clinton, causing the huge reactions in the markets overnight.