On Friday October 2, only a few weeks ahead the much-anticipated US Presidential elections, Trump announced that he and First Lady, Melania Trump, have tested positive for COVID-19.

News of the President’s hospitalization sent shudders across global markets, as volatility had already been reigning with investors awaiting the outcome of the November elections.

Shortly after Trump tweeted his announcement, the dollar began falling, reaching 93.759 versus a basket of currencies according to Reuters.

Investors turned to gold, which recorded its best week in nearly two months, the yen made its strongest leap in more than a month, whereas the benchmark 10-year Treasury note rose only mildly.

On Wall Street, stocks fell by 1% approximately following news of Trump’s illness. The Dow Jones Industrial Average recorded a 0.78% decrease, the S&P 500 fell by 0.81%, while the Nasdaq fell 2.2% in early trade as reported by Reuters.  

The White House bombshell’s impact was felt in markets worldwide. The Euro dropped 0.27% against the dollar, at $1.1715, and the Japanese yen gained 0.16% at 105.35 per dollar, signaling investors’ aversion to risk at the closing of the week. Furthermore, the Australian dollar was down 0.23% whereas Germany’s benchmark 10-year bond dropped by 0.7 basis points.  Oil prices also sank on Friday morning, with Brent and WTI contracts plummeting by 3%, as Brent reached $39.77 per barrel.

However, Trump’s improving health situation seems to have increased market optimism on Monday. Global markets and US stock futures are on the rise as Trump is expected to be discharged from the hospital.

Japan’s Nikkei 225 recorded a 1.2% gain on Monday, while South Korea’s Kospi and the Hang Seng in Hong Kong both closed with a 1.3% increase.

In Europe, the CAC40 and DAX respectively increased by 0.6% and 0.5%, while the FTSE 100 gained 0.4% in London.

Wall Street may be also partaking in those gains, as futures for the Dow Jones, S&P 500 and Nasdaq each increased within a range of 0.4% and 0.6% as recorded by the CNBC early on Monday morning.