Make Kitco Your Homepage

Election outcome should have minimal impact on gold price outlook

Kitco News

The election has not changed long-term fundamentals behind gold and silver owing to a divided Congress, said Neil Meader, director of gold and silver at Metals Focus.

“There was some initial expectations that if we’d seen the so-called Blue Wave, that there would be a much more expansive fiscal program coming through from the U.S. and that was implicitly seen as inflationary, which would have been pro-gold. But now that we have a Republican-controlled Senate, we may not see that fiscal push come through, and I think that has led to some cooling of enthusiasm,” Meader said.

Meader added that still, fiscal and monetary policies are expected to remain accommodative.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.