US election latest: State of democracy and the economy top of voter concerns, initial exit poll reveals

The US dollar has surged against a basket of currencies as Donald Trump looks set for a return to the White House. 

Investors returned to making “Trump trades” on the belief that he would hike tariffs on foreign imports to protect domestic industries, pushing up prices of imported goods and with it inflation, while also increasing borrowing and government debt at home.

US Treasury yields – essentially the rate of interest that the US government pays on it debt – also rose in response to these pressures, with investors now betting that the US Federal Reserve, which makes its next decision on interest rates on Thursday, will take a more cautious approach to cutting rates in the months ahead.

US stock markets are expected to open up later today, while in Asia, stocks on the Hang Seng were lower over fears Trump could put 60% tariffs on Chinese goods.

Meanwhile, Bitcoin surged to a record high of $75,060 as crypto investors were buoyed by the expectation of having an ally of the currency in the White House and with it a calmer or even positive regulatory environment for digital assets.

The oil price has also eased to less than $75 a barrel over expectations that a Trump administration will encourage crude flows in the US.