The absence of President Trump from the World Cup final, confirmed by UK diplomatic sources, is more than a mere scheduling conflict. It is a calculated snub that risks deepening the isolation of the United States on the global stage. For the City of London, which thrives on open markets and predictable international relations, this is a worrying signal.
The dollar is already under pressure from capital flight, and a fractured diplomatic posture does little to restore confidence. Gilt yields, meanwhile, are being watched with hawkish eyes as the market prices in the risk of a fragmented transatlantic alliance. This is not just about football, it is about the bottom line of global influence.
The absence of the American leader from a symbolic event that unites rivals like Russia and Saudi Arabia speaks volumes about Washington's current standing. As one diplomat put it, 'When you are not in the room, you cannot influence the score.' The US may find its diplomatic currency devalued, and that cost will eventually be felt in trade balances and investment flows.
Fiscal responsibility requires a coherent foreign policy; otherwise, the market will exact its own penalty.
