icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm

Gold will be WINNER no matter who clinches US election – hedge fund manager

Gold will be WINNER no matter who clinches US election – hedge fund manager
Regardless of who wins the US presidency, gold and gold miners are set to benefit anyway, said James Rasteh, Chief Investment Officer of Coast Capital in an interview with CNBC.

He explained that it’s because the United States will likely adopt a sizeable fiscal stimulus program, aimed at boosting economic activity, but which typically leads to a wider deficit.

“We would be printing trillions of dollars more and all of that ultimately has extraordinarily positive repercussions for gold,” he said, adding: “The fiscal and monetary policies would be almost identical under either leadership. I think that the differences that are being delineated are really more imaginative than real.”

Spot gold rallied above $2,000 in August before pulling back to trade around the $1,900 level in recent weeks. The yellow metal was trading one percent lower at $1,893 as of 09:00 GMT on Wednesday.

Also on rt.com ‘The world is going back to a GOLD STANDARD as the US dollar is about to collapse’ – Peter Schiff

According to Rasteh, capital investments in the gold market are flowing into exchange-traded funds, or ETFs, where the major miners dominate. It is an “extraordinarily under-owned sector,” he said.

The CIO pointed out that while those larger players are not making significant discoveries for new sources of gold and are running out of reserves, they are likely to be forced into buying out the smaller names in the market.

For more stories on economy & finance visit RT's business section

Podcasts