🔥TACO trading dominates the market: investors bet on Trump policy compromises, buying on dips becomes the mainstream strategy

April 9th, as the US-Iran conflict eases temporarily, Wall Street is gradually forming a trading logic centered around Trump’s policy style—TACO trading (Trump Always Chickens Out). The market generally believes that Trump’s tough stance on geopolitics often ends in compromise, so escalating the situation is seen as a buy signal. Data shows that before Trump announced a pause on military actions against Iran, the market had already positioned itself in risk assets in advance. The S&P 500 index recorded its first weekly increase in six weeks, and the risk premium in the options market remained low, indicating limited investor reaction to extreme scenarios. Institutional views suggest that the current market is repeating a cycle of conflict escalation—emotional pressure—cooling of the situation—asset rebound. Part…