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Stock markets likely to be volatile in 2025 due to Trump tariffs, geopolitics
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US President-elect Donald Trump and his wife Melania visiting the New York Stock Exchange on Dec 12.
PHOTO: NYTIMES
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Investors anticipating another calm year in 2025 should be on guard for more shocks like the one seen in August as uncertainty around US President-elect Donald Trump’s tax and tariff policies threatens to roil markets.
Strategists at Bank of America (BofA), JPMorgan Chase & Co and Spain’s Banco Bilbao Vizcaya Argentaria (BBVA) expect the continued flow of option selling to generally keep a lid on volatility, with JPMorgan seeing the Volatility Index (VIX) of the CBOE (Chicago Board Options Exchange) averaging around 16, compared with around 15.5 across 2024.
