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On September 6, Russian Presidential Aide Ushakov said early on the 6th that President Putins meeting with US President Trumps special envoy Witkov and son-in-law Jared Kushner at the Kremlin on the evening of the 5th lasted more than three hours and was substantive and "constructive." Ushakov said that the Russian side made a clear and comprehensive assessment of the current situation, including the situation developing during the special military operation. In particular, the Russian side pointed out the actual progress made by the Russian army in the theater of operations and expressed confidence in achieving its established objectives, while also emphasizing the necessity of eliminating all the root causes of the conflict. Ushakov stated that Russia reiterated its willingness to continue working with the US to seek a solution through political and diplomatic means. Both sides confirmed that the two presidents will continue to maintain direct contact.Russian Presidential Aide Ushakov: Putin is prepared to cooperate with the United States to seek a diplomatic solution to the Russia-Ukraine issue.September 6 - According to the Islamic Republic News Agency (IRNA), the public relations department of the Iranian Islamic Revolutionary Guard Corps issued a statement on September 5 denying that the Isfahan nuclear technology center and nuclear facilities had been attacked, calling the related reports purely fabricated. The statement said that spreading such content during the current sensitive situation is an attempt by hostile forces to create tension, disrupt public opinion, and incite public panic.September 6 - According to Irans Fars News Agency, a deputy political official of the Iranian Revolutionary Guard Navy stated that in the 10 days leading up to August 30, Iranian naval forces were "punishing" two to five "violations" of regulations every night in the Strait of Hormuz. The official added that the US attacks "did not cause the slightest disruption to Irans control in the region."On September 6th, Israeli public radio reported on the 5th that the Israeli military is preparing to partially withdraw from southern Lebanon and plans to establish a smaller "safe zone" along the Lebanese-Israeli border. The report stated that the Israeli military recently completed the destruction of Hezbollah tunnels beneath the Ali Tahir heights in the Nabatayah region of southern Lebanon, subsequently formulating the aforementioned relocation plan. Israeli security officials said that under the new plan, the Israeli military will withdraw to a position closer to the Lebanese-Israeli border, reducing the depth of its controlled area in southern Lebanon from the current approximately 10 kilometers to 3-4 kilometers. The new deployment line, referred to as the "grey line," will replace the current "yellow line."

The election battle has already started. Who will benefit the gold price?

Eden

Oct 25, 2021 13:27

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If Trump loses power, gold prices may rise before the election

Under the epidemic, the Federal Reserve introduced an unlimited amount of easing policy, coupled with Congress’s rescue plan, which triggered a bubble in the financial market. The market risk was very high when it was realized, but because it was the election, the breakpoint was still not reached. In addition, the market generally believes that Trump’s election is beneficial to the stock market. Therefore, if Trump loses its position in the election, some investors may withdraw their funds from the stock market and turn to assets they consider safer, such as gold. High gold prices. This situation may occur before the general election, so changes in the election situation must not be ignored.


Biden's 7.3 trillion dollar policy or favorable gold market

If Biden is elected, it will undoubtedly ease the conflict at home and abroad and effectively suppress the epidemic. However, because the United States has suffered severely due to the epidemic, after Biden is elected, the chances of financial markets returning to before the epidemic are not low. The price of gold will return to the economy and fundamentals and will be affected by changes in the quantitative easing policy.


Judging from the current situation, the Fed stated earlier that unlimited easing will continue until 2023, which will allow gold prices to be supported to a certain extent. Therefore, at least before 2023, the election of Biden as president has limited impact on gold prices.


In addition, Biden proposes to launch a spending plan of US$7.3 trillion in the next 10 years. Some analysts believe that this is good for gold prices. Because of the increase in US government debt, the dollar will weaken and the price of gold will rise.


Even if Trump is re-elected, he will face a weak US economy, and the market's safe-haven demand for gold will not decrease.


Finally, if the elected president and the Congress belong to the same party, it is undoubtedly the most beneficial for governance. However, if the president and Congress split the party, the power of the president is weakened and domestic conflicts increase, which may benefit the price of gold.


If it is a real gold investment, the current gold price is under pressure and you can consider entering the market. However, if you participate in the form of leverage, you must pay attention to the current market sentiment, as the price of gold fluctuates greatly during the general election.


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