Vietnamese Prime Minister set the tone for "negotiations should not harm other markets", spot gold rushed to $3,500, Vietnamese stock market plunged, and the yen once rose above the 140 mark

Source: Wall Street News

Under the dual pressure of Trump's threat of firing Powell and the US and Japanese finance ministers discussing the "monetary issue", the sentiment of "selling the United States" pushed gold prices to hit a record high, the yen broke through the 140 psychological mark against the US dollar, and the US dollar index fell to a three-year low. Vietnam's Prime Minister set the tone for "negotiations should not harm other markets", and Vietnam's stock market plunged.

On Tuesday afternoon, U.S. stocks rebounded, with S&P 500 futures rising 1% to intraday highs. Nasdaq futures rose to 1%.
The Vietnamese stock index fell rapidly, and the Vietnam VN index fell to 5% at one point to 1,146.20 points.

The Vietnamese government website quoted Prime Minister Fan Mingzheng's speech at a meeting in Hanoi on Tuesday, saying that Fan Mingzheng asked the government's trade negotiation team to be "fully prepared" for the upcoming tariff negotiations with the United States and ensure that the negotiations "do not negatively affect other agreements or markets."
As traders seek hedge, gold prices fell slightly to $3,486.75 per ounce as of press time, up 1.83% during the day.

After Trump repeatedly and repeatedly criticized Federal Reserve Chairman Powell, the outside world became increasingly worried about the possibility of Powell being fired, and the United States suffered a triple kill of stocks, foreign exchange and debt. Trump called on the Fed to cut interest rates immediately, a move seen as endangering the central bank's independence. Lee Liang Le, an analyst at Kallanish Index Services, said:
The rapid rise in gold prices this year tells me that the market's confidence in the United States is lower than ever. The "Trump deal" has evolved into a narrative of "selling the United States".
The yen rose above 140 for the first time against the US dollar, hitting a new high since September last year.



The dollar continues to be weak, with the dollar index now at 98.23, the lowest level since March 2022. Japanese Finance Minister Katsunobu Kato will report to visit Washington this week, when he may hold bilateral talks with U.S. Treasury Secretary Becent during the G20 Treasury Secretary’s Meeting and the IMF-World Bank Spring Meeting.



Shibata Hideki, senior fixed income and forex strategist at Tokyo Intelligence Laboratory in Tokai:

If the yen significantly exceeds the 140 level or the 139.5 level reached in September last year, technical factors will be more likely to trigger the behavior of buying the yen and selling the US dollar, accelerating the appreciation of the yen.

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