The rally comes despite rising bond yields and a stronger US dollar, which usually would have weighed on the precious metal. This brings bullion’s year-to-date gain to approximately 34%, making it one of the best-performing assets of 2024.
“Market positioning is elevated ahead of the election but also in anticipation of further Fed rate cuts and broader market and geopolitical uncertainty,” Standard Chartered Plc analyst Suki Cooper said in a note quoted by Bloomberg.
“Under a Trump-win scenario, markets are focused on the implications of wider tariffs, as well as inflationary pressures as a result of such tariffs.”
“Gold trades up on the week, despite deflating risk premiums elsewhere, confirming the focus remains the US election and especially the prospect of a Trump 2.0,” Saxo Bank said in a note to Bloomberg.
“It may bring greater policy disruption, trade tariffs and increased geopolitical…
