Gold: retreat would be accelerated if Hillary Clinton were elected - Commerzbank

Gold seems set to lose some of the ground gained in the second half of October if Hillary Clinton becomes the first female President of the United States, said Barbara Lambrecht, analyst at Commerzbank.

Key quotes

“Gold has risen to $1,300 per troy ounce, thanks to the weaker dollar and greater aversion to risk, but it could suffer a setback. The World Gold Council’s review of the third quarter is likely to confirm a marked drop in investment demand compared with the first half of the year.”

“The retreat would be accelerated if Hillary Clinton were elected, since her victory would lessen aversion to risk, make a Fed rate hike in December more likely, and strengthen the dollar. All of this would make gold a less attractive option.”