Will the Mid-Term Election A ect Gold?
With all four of the last Presidents seeing their party’s control of Congress reversed in mid-term elections, three in their rst term, President Biden and the Democrats could face the same fate in November. at will likely be good for gold, as its price soared an average 21% the last four times such reversals occurred. Here’s a look back…
On November 6, 2018, the Democrats gained a net 41 seats in the House to take back control of that chamber. Gold was
$1,231 per ounce on election day 2018, but it then rose to $1,509 a year later, up 23% in 12 months.
On November 2, 2010, Republicans gained 64 seats in the House, largely because of the new Tea Party movement. Gold was $1,351 per ounce on election day 2010, and then it rose to $1,743 a year later, up 29%.
On November 7, 2006, Democrats took back a net six seats in the Senate and 31 seats in the House to take back control of both Houses of Congress. Gold was $625 an ounce on election day 2006, and it rose steadily to $834 a year later, up 33%, despite higher interest rates.