CNBC reports that one investor told that gold and gold miners are set to benefit no matter who wins the U.S. election this week.
That’s because the United States will likely to adopt a sizeable fiscal stimulus program no matter which candidate wins the presidency, James Rasteh, CIO of Coast Capital, told CNBC.
“We would be printing trillions of dollars more and all of that ultimately has extraordinarily positive repercussions for gold,” he said.
“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,” Rasteh added.
Fiscal stimulus typically leads to a wider deficit. That could undermine investor confidence and prompt them to put their money into safer assets such as gold, and in turn, push gold prices higher.