Who will win in November? GOLD

Rarely do you get such a win-win opportunity in life… 

As the 2024 election approaches, political analysts are watching closely to see whether Kamala Harris or Donald Trump will take the White House. While political and economic policies may vary dramatically depending on who wins, one asset seems poised to benefit regardless of the outcome: gold. 

Gold has long been considered a safe-haven investment during periods of economic uncertainty, and the upcoming election promises plenty of that. Here’s why many analysts believe that gold prices will rise, no matter which candidate prevails. 

Inflation and Economic Instability 

Both candidates are running in the shadow of post-lockdown economic upheaval, global inflation concerns, and festering supply chain disruptions. Historically, gold rises when inflation rises, as it provides a hedge against a declining dollar and the purchasing power erosion that comes with it. 

Under a Kamala Harris Administration, inflation could explode due to her focus on social spending, environmental policies and restrictions. Large-scale spending initiatives may include expanding healthcare, green infrastructure projects, and bolstering social safety nets. This could stress the national balance sheet to its breaking point. 

Under Donald Trump, tax cuts and deregulation policies may stimulate certain sectors, but they may also exacerbate national debt and increase inflation if growth doesn’t keep pace with fiscal loosening. Trump’s prior term saw significant corporate tax cuts and deregulation, which gave short-term economic boosts but did little to control inflationary risks. Indeed, gold went up 50% over his first term. 



So no matter who wins, GOLD WINS. Inflationary pressures under BOTH candidates could lead to a higher demand for gold as investors look to safeguard their wealth. 

Geopolitical Uncertainty 

Political uncertainty and global tensions can play a significant role in the demand for safe-haven assets like gold. The international landscape remains complicated, with the U.S. facing increasing competition from China, tensions in the Middle East, and shifting global alliances. 

Kamala Harris’s approach to foreign relations may be a continuation of the Biden administration’s mismanagement and clumsy diplomacy. And with tensions reaching critical points with Russia and Ukraine, Israel and Iran, and possibly soon China and Taiwan, analysts increasingly talk about WWIII being just around the corner. Any one of these conflicts could boil over at any moment, driving more investors toward gold. 

Donald Trump’s “America First” foreign policy may be beneficial in the long run, but in the short term there could be trade wars or heightened tensions with international allies and adversaries alike as deals are worked out. While this appeals to some sectors domestically, it also heightens unpredictability in international markets, which can drive investors to seek safety in gold during times of turbulence. 

The Stock Market’s Response 

Historically, the stock market reacts strongly to changes in government policies, and both Harris and Trump are likely to trigger significant market movements depending on their policies. However, such shifts in the stock market can also benefit gold. 

If Kamala Harris wins, markets may anticipate heavier regulations, higher corporate taxes, or stricter environmental rules.  

If Donald Trump returns, his pro-business stance might initially boost certain sectors, but his plans to radically overhaul certain government agencies and slash regulations could introduce more volatility and uncertainty.  Gold is often seen as a safer alternative under those conditions. 

The fear of market corrections or sustained volatility, regardless of the winner, can lead to gold being viewed as a critical part of an investment portfolio. 

The Debt Ceiling and Fiscal Policy 

One of the more concerning elements on the economic horizon is the ballooning U.S. national debt. Under either administration, the U.S. is expected to continue accumulating debt, though the path will differ. 

Kamala Harris’s policies will likely focus on spending to tackle healthcare, education, and climate change. But there is no discussion on how such initiatives will be funded and how they’ll impact the federal debt. 

Donald Trump, during his previous term, expanded the deficit with tax cuts and increased military spending. A return to this type of fiscal policy could increase the debt ceiling even further. 

Investors often turn to gold when debt spirals out of control, fearing that the government may print more money, thus lowering the value of the dollar. As the national debt grows, the confidence in fiat currency declines, making gold a stronger store of value. 

Gold as a Hedge Against Government Policies 

In addition to inflation and economic instability, gold remains a popular hedge against uncertain government policies. Investors may be wary of how both candidates will navigate the future of the U.S. economy. 

Kamala Harris’s focus on regulatory policies and wealth redistribution could stir fears of overreach in certain business sectors, causing some investors to turn to assets like gold as a more stable alternative. 

Donald Trump’s populist policies and America First focus on issues like tariffs and trade could lead to uncertainty in the financial markets, driving demand for safe-haven assets like gold. 

*** 

Whether Kamala Harris or Donald Trump wins the 2024 election, the fundamental drivers that typically boost the price of gold—economic uncertainty, inflation, geopolitical tensions, market volatility, and fiscal policy concerns—are all in play. Investors looking for a hedge against risk and a store of value should keep a close eye on gold as a potentially rewarding investment strategy. 

In a world where uncertainty reigns, gold shines as a timeless, resilient asset that performs well in turbulent times—no matter who is president.