economy
March 10, 2026
Traders fear missing out on latest 'Trump TACO rally'
One thing was made clear by Monday's big comeback: Traders don't think this volatility will persist.
TL;DR
- Traders do not believe the current market volatility will persist.
- The Dow Jones Industrial Average reversed an earlier significant decline on Monday.
- This turnaround followed President Trump's signal that the Iran war was nearing an end.
- Traders are referencing past events, such as 2025 tariff announcements and the Ukraine-Russia war, where markets recovered after initial shocks.
- The 'Trump TACO' (Trump Always Chickens Out) rally concept suggests traders believe Trump will prevent severe deterioration in oil prices and geopolitical situations.
- The Cboe Volatility Index (VIX) saw a high before trading lower, indicating reduced fear.
- While historical precedent suggests fading volatility, the presence of other actors like Iran introduces uncertainty.
Continue reading the original article