There are four days remaining until the US presidential election, and Democratic candidate Hillary Clinton's lead over Republican Donald Trump has narrowed to just three points in national polling averages.
With the economic future of the US uncertain, gold prices have continued their upward crawl – with one expert suggesting prices could leap if Trump wins.
In a year-on-year comparison, gold has risen from $1,108.90 to $1,302.70 per ounce, and up from $1,269.80 last month.
But Wayne Gordon, executive director for commodities and foreign exchange at UBS' wealth management unit, told Bloomberg Television a Trump win could cause gold to near $1,400, whereas a Clinton win will cause it to fall by between $20 and $30.
However, research by Dutch bank ABN Amro predicted that over the next year, a Clinton win could cause a moderate rise in gold prices to $1,650 per ounce due to slow economic growth and high inflation.
Meanwhile, a Trump win will create an even greater increase due to inward-looking policies, international and domestic uncertainty caused by Trump’s rhetoric, and weaker economic growth. This prediction puts gold prices toward $1,850 by the end of 2017.
Either scenario shows gold surpassing the two-year high of $1,368.30 it set on the 2 August, but a Republican victory could come close to trumping (geddit?) the five-year high of $1,905.10 set on 5 September 2011.
Julian Phillips, the founder of Goldforecaster.com, told MarketWatch Trump’s protectionist policies will slow growth and guide the global monetary system away from its reliance on the US dollar.
Gold prices had fallen throughout Obama’s second term due to a rise in US real yields, a stronger US dollar and improvement to the output gap but have been on the rise from the beginning of 2016.