Gold Would Perform Well Under Trump Presidency - Gartman
Tuesday September 13, 2016 13:11
(Kitco News) - Gold would do well under a Trump presidency because the metal likes confusion, said market commentator Dennis Gartman.
“[G]old likes political dissent and would do rather well in a Trump administration,” Gartman told CNBC's "Fast Money" on Monday. He explained that Trump is a bit more hawkish and more likely to make a protocol mistake and this would be price supportive for gold.
On the other hand, "[A] Trump presidency would be enormously bearish for stocks," Gartman said. "He's a wild card and the market hates wild cards."
"I think it would be terribly detrimental to stock prices were he to get closer to 42, 45, 46 percent and draw closer to where she is right now," said the publisher of The Gartman Letter.
He added that a Trump presidency would ‘probably” allow for rates to go higher and would be detrimental to bond prices, said Gartman. "It has been a 32-year bull market and it looks like the peak was made," he said.
Earlier this week, Trump suggested that Fed Chair Janet Yellen is being pressured to keep interest rates low by the White House.
Donald Trump, the Republican presidential nominee is closing in on the polls and narrowing the gap with Democratic Hillary Clinton . The polls shows that Clinton leads among likely voters by 46 percent while Trump trails at 41 percent.
December Comex gold futures is one of the bright spots in financial markets, which is a sea of deep red Tuesday. December gold last traded at $1,324.80 an ounce, relatively flat on the day. At the same time The Dow is down 270 points at 18,054, a drop of 1.5% on the day; the S&P 500 is down 39 points, or 1.8% to 2,119 on the day.