I was tempted to call this post, “A Sure Bet…on Trump’s Stupidity”, because Spread Betting firms could be the first to benefit from the market volatility created by Trump’s abrupt tariff changes. CMC Markets acknowledges benefiting from volatility. Similarly, Plus500 has a historical correlation between its earnings and market volatility, while IG Group's business model aligns with market turbulence.
Over the last 7 days Plus500 (LON:PLUS), IG group (LON:IGG) and CMC Markets (LON:CMCX) have all gained 8-12% (average +10%). But these upward trends have different start points with Plus500 (LON:PLUS) forming a new 52Wk High, IG group (LON:IGG) up from a flat position and CMC Markets (LON:CMCX) up from its 52Wk Low. Surely their recent trend synchrony is no coincidence? Disclosure: I hold all 3
