Republican Vs. Democratic Governments: Your Vote Affected Your Precious Metals Investments
Historically, the US Presidential Election has always affected markets, both domestically and globally. This is largely due to a change in fiscal policy when leaders change.
But it’s always hard to predict exactly how the precious metals market will react to a new Commander in Chief.
On the surface, we find very little direct correlation between precious metal prices and political parties coming into power.
And there is little evidence to suggest that any pattern would repeat itself. For instance, gold bullions struggled under Clinton but soared under the Obama administration, especially in2011.
The same thing happened during President Reagan’s time, but then prices again increased during the two initial terms of George W. Bush Junior.
In reality, the winning party does not decide the fate of the metals market; the economic conditions of the time do.
Since the country is embroiled in major financial issues at the moment, President Biden will have to deal with these problems.
What A Republican Win Would’ve Meant
In general, all things equal, a Republican win almost always leads to a boom in the stock market and, therefore, curbs metal market prices.
If Trump had won, it would’ve meant continued low capital gains tax rates, leading to market growth.
And so, as an investor, it would’ve been wise to move away from precious metals investments for the next few years.
Where Do You Stand Now as An Investor?
The dollar printing spree going on right now is only meant to be a temporary solution to revive the economy.
Eventually, it’s going to result in heavy inflation. Coupled with mounting debts and deficits, this inflation period will be great for precious metal investors, especially gold investors.
As the dollar value goes further down due to all of these factors, the prices of precious metals, especially gold, will rise even further.
And as predicted by the Bank of America, Biden’s Green New Deal will boost silver prices as well.
To reach the set target of zero carbon emissions, there will be a significant switch to renewable sources of energy like solar power, and solar panels cannot operate without silver.
So, the great news is that regardless of who you voted for, your investment’s value is going to soar!
There is still time, though, so buy gold and silver bullion, bars, coins online by contacting us, at Orion Metal Exchange, today!