Trump’s inauguration is getting a lot of media attention right now. With just a few days until this event happens, the world is seemingly holding its breath. A lot of financial experts and speculators are preparing for the worst, by the look of things. It is expected safe-haven assets will see a healthy boost in valuation over the coming weeks, although it remains to be seen if that will be the case.
Donald Trump Can Boost Gold Prices
President-elect Trump has made enemies out of China, India, and Mexico. He also went after Germany and various NATO countries during previous speeches. The US economy is on the brink of alienating itself beyond repair at this rate, which would not be a positive development. Speculators predict gold will see a significant price boost over the coming days, as it is a global asset.
It has to be said; the gold price has been soaring ever since Trump won the election. With an 11.9% increase since November 8, things are looking good for the bullion market. That said, speculators and investors have been showing gold fatigue as of late, and new opportunities are gaining more momentum. Bitcoin is one of the best-performing assets of the past few years and is on a lot of people’s radar right now.
The financial situation will be affected by what Trump has to say during his speech. No one is exactly sure what we will hear, although the consensus is it will be more of the same. It seems highly likely the relationship with China will come under significant pressure, though. Moreover, the relation between the US and EU will see some significant changes as well.
At the same time, one has to wonder if Trump can deliver on his promise to “Make America Great Again.” Assuming he does so, the price of gold will drop well below US$1,000 in the coming years. Anyone who has gold in their portfolio will be paying close attention to what happens in the next few days. Capital outflowscan see more money move to bullion, and even Bitcoin.