LONDON, April 27 If anyone doubted how closely
traders need to watch U.S. President Donald Trump's public words
or actions, data on Thursday showed trading volumes on the
world's biggest financial market have routinely jumped on-year
after some of his most high-profile comments.
A study of Trump's first 100 days in office by currency
market utility CLS shows the hourly surges in currency market
volumes compared with the equivalent from the same trading day a
year earlier around market-sensitive actions or comments by
Trump or his aides.
Data on CLS hourly volumes can be found at: here
Such cases include this month's surprise missile strike on
Syria, his comments on the dollar last month, his promise in
February to deliver a "phenomenal" tax plan, or the accusation
on Jan. 31 that other governments were deliberately weakening
their currencies to the United States' detriment.
"Irrespective of how successful President Trump is perceived
to have been so far, he and his administration dominated news
headlines during the first 100 days in office," CLS analysts
said in the paper.
"Based on the analysis..., actions and statements by
President Trump and his administration do appear to have an
impact on the FX spot market."
The paper showed the biggest spike in volumes - to $84
billion from an average for the same hour a year earlier of less
than $50 billion - centred on Trump's trade adviser Peter
Navarro's comment that Germany was using a grossly undervalued
euro to exploit its trading partners.
(Reporting by Patrick Graham; Editing by Hugh Lawson)