Will Gold Prices Rise or Fall after the Presidential Election?
/Will gold prices hold steady, go flat, or surge after the next presidential election? In today’s post, let’s look at that question from several different perspectives.
The Price of Gold Will Probably Trend Upwards, No Matter Who Wins
People around the world aren’t waiting breathlessly to make financial decisions until after our election. They’re already buying and selling gold, buying and holding gold, and applying all kinds of strategies to profit from the metal. Just recently, for example, China acquired an estimated 11 tons of gold and salted it away, which helped drive up prices. Russia is buying up reserves of gold too. So chances are pretty good that those activities will continue, so the trading price of gold isn’t about to fall anytime soon – not even after our November election.
Will gold prices rise or fall more under Hillary Clinton or Donald Trump? Be prepared either way with a Specialty Metals Pool Account. Credit: pmmart/iStock.
The Price of Gold Would Probably Increase if Donald Trump “Tore Up” Trade Agreements
Actually, it seems a bit unlikely that Trump really would or could make good on his campaign promises to “tear up trade agreements on the first day” of his presidency. It’s not really a plan. But if he wins and if he really does start to undo trade agreements, a number of financial analysts feel that the result would be a further increase in the trading price of gold. Why? Because foreign countries will be turning to gold more, not to the U.S. dollar, to underwrite their currencies and economies.
Increased Military Spending Will Probably Increase Demand for Gold
Both Hillary Clinton and Donald Trump are advocates of a strong national defense. So chances are pretty good that the election of either one could result in an increase in defense spending, not to mention an increase in spending on defense technologies. And advanced weapons and weapons systems, including space weapons and supercomputers, use a lot of gold. Demand is likely to rise, along with prices.
The Price of Gold Will Not Be Affected If Trump Wins and Puts a “Trump” Sign on the White House
Okay, let’s end today’s post with a chuckle. You see, the gold “Trump” signs that Trump puts on his buildings are actually not made of gold. Sorry to disappoint you, but they are mostly made of aluminum that has been anodized to look like gold – they’re not even gold-plated or the lowest 10K gold alloy. Then we also have to remember that his daughter Ivanka has a company that makes jewelry. If her dad wins and people see the Ivanka Trump jewelry she is wearing at the inauguration and want to start wearing it too . . . well, who knows? It could cause a second gold rush. And as far we know, Chelsea Clinton isn’t in the jewelry business. Not yet anyhow, but stay tuned.
What’s Your Best Investment Strategy Today?
If gold prices hold steady or increase, this could be a very good time to invest in gold. Or, if you have some, to hold onto it and see what happens. What if you have quantities of gold that you would like to refine or recycle for maximum return? If you call us at 800-426-2344 and tell us about the gold you would like to recycle, we can help you create a plan that will offer you the maximum payback on your scrap or other gold – including creating a Specialty Metals Gold Pool Account so you are in the best position to respond to fluctuations in the price of gold at a moment’s notice.
Related Posts:
What Will Happen to Gold Prices if Donald Trump Becomes President?
Do Gold Prices Rise More Under Democratic or Republican Administrations?
How Much Gold Does Donald Trump Own?
Would Gold Prices Rise More Under Clinton or Sanders?
