Trump wins, Gold has biggest rally since Brexit

“Gold jumped nearly 5 percent on Wednesday to its strongest in six weeks as investors snapped up safe havens with Republican Donald Trump winning the race for the White House over Democrat Hillary Clinton.

It marked gold’s biggest single-day gain since June 24 when it rose as much as 8 percent when Britain decided to leave the European Union. It closed up 4.8 percent that day.

A Trump win, which many see could lead to economic and global uncertainty, may also push the U.S. Federal Reserve to hold off from raising interest rates next month, further burnishing gold’s draw, analysts say.

Trump scored a series of surprising wins in battleground states including Florida and Ohio on Tuesday, opening a path to the White House for the political outsider and rattling world markets counting on a win by Clinton.

The U.S. dollar sank and stocks plummeted as investors faced the possibility of a shock win by Trump. Sovereign bonds surged and the Mexican peso went into near freefall. Spot gold rose as much as 1.07 percent to $1,289 an ounce, its strongest since Sept. 27, and was up 2.4 percent at $1,305.85 by 10:52 a.m. EDT.”

Excerpt from http://www.cnbc.com/2016/11/08/gold-steady-in-asian-trade-ahead-of-us-election-outcome.html

 

 

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