Venezuela, Donald Trump
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Stocks, gold, and bitcoin were moving higher on Monday following the US's weekend attack on Venezuela.
Global investors are facing a fresh surge in geopolitical risk after the U.S. capture of Venezuelan President Nicolas Maduro, although initial market reaction has been relatively devoid of nerves with oil volatile and safe-haven flows lifting gold.
Polymarket users bet on whether the U.S. would invade Venezuela, but the prediction market said the Venezuelan president’s capture did not constitute an invasion.
Stocks in emerging markets, including Latin America, have rallied in January to beat the U.S. stock market so far this year, despite geopolitical risk in Venezuela. The iShares MSCI Emerging Markets ETF,
President Donald Trump believes US companies can revive Venezuela’s beleaguered oil industry, benefiting both that nation and America. But even if that happens, it would be a fraction of changes needed to get the destitute country back on its feet.
The U.S. government reveals plans to market Venezuelan oil, potentially releasing millions of barrels globally, yet experts doubt major local or consumer impacts.
Oil prices steadied on Wednesday as investors digested statements from President Donald Trump that the United States had reached a deal to import up to $2 billion worth of Venezuelan crude, a move that would increase supplies to the world's largest oil consumer.
Venezuela says it sits on the world's largest commercially viable oil reserves. Even if that claim is shaky, the challenges for getting this oil to market are many.