Gold News: Trump’s Victory Sends Gold Down
Gold News
In the latest gold news: As of November 14, 2016 at 7:57AM EST, gold was trading at $1224.07. At approximately this time last week, gold was selling significantly higher at $1290.37 per ounce. This week’s gold price drop marks the greatest drop in a week in over 3 years and gold hit its 5 month-low trading price.
Donald Trump clinched the US Presidency in this past week’s elections, shocking many. Leading up to the elections, gold prices skyrocketed because of gold’s classification as a safe haven investment, but after one of the biggest upsets in modern political history, investors are looking to rid themselves of gold. Analysts had expected that should Trump win, gold prices would increase due to uncertainty about the future of the US economy. The fact that gold prices are slipping at a rapid rate is likely due to the investors rethinking about what Trump’s economic policies could actually mean for the country and the economy. His victory speech where he mentioned increased infrastructure spending gave investors hope for economic growth and for a smooth transition from Obama to Trump.
Gold prices in Asia have been negatively effected as well and not only by Trump’s infrastructure spending plan. China’s economic data showed growth in industrial production and retail sales that were slightly lower than expected. The strengthening of the US dollar also took effect in making gold less valuable.
On October 31st, I Know First’s algorithm showed 90% accuracy with regards to its gold and oil predictions in the 7-day gold prediction as seen in “Gold Outlook Based on Pattern Recognition: Almost 8% Return.” After 7 Days I Know First’s average percent change came out to an impressive 2.56%.
