Morning Meeting: Gold's U.S. Election Volatility

The video discusses the relationship between political risk, particularly the US election, and gold as a hedge. It highlights the negative correlation between gold volatility and the Clinton-Trump poll spread. The potential impact of a Trump presidency on gold prices is analyzed, with predictions of a rise to $1400. The role of the Federal Reserve's decisions in December is also considered, affecting gold's price movements. The uncertainty surrounding the election outcome is expected to contribute to gold price volatility.

What is the correlation between gold volatility and the Clinton-Trump spread?

• Negative 0.2

• Positive 0.5

• Positive 0.2

• Negative 0.5

According to Michael Widmer, what might happen to gold prices if Trump wins the election?

• Gold prices might decrease significantly.

• Gold prices might remain stable.

• Gold prices might recover to previous levels.

• Gold prices might drop to new lows.

What is a potential factor that could influence gold prices in December?

• The price of oil

• The Federal Reserve's decision on interest rates

• The stock market performance

• The outcome of the US election

What is the potential upside for gold prices as the election approaches?

• $1200

• $1300

• $1400

• $1500

How might a Trump win affect gold price stability?

• It would have no effect on gold prices.

• It would cause gold prices to plummet.

• It could help stabilize gold prices.

• It could destabilize gold prices.