HSBC Economist Warns Of Commodity Market Risks Under Potential Trump Presidency

Commodity markets face a greater risk of fragmentation in the event of another Donald Trump presidency, an HSBC economist noted on Friday.

At the first U.S. presidential debate on June 27, President Joe Biden had a weak start, leading to increased speculation about the possibility of the former president returning to the White House. This concern also takes into consideration Trump's policies and the proposed tariffs on China.

While commodity markets must contend with high prices driven by constraints in the supply structure, they still have to face geopolitical tensions, according to HSBC's chief economist for global communities, Australia, and New Zealand.