The gold price breached US$1,300/oz

Global equity markets fell sharply initially, market expectations of a US interest rate hike have been scaled back and the dollar is down.

The gold price breached US$1,300/oz, up from US$1,275/oz before the vote counting began.

Donald Trump has become the 45th President of the United States of America.

Gold trading volumes rose sharply in Asia. However, anecdotal evidence from bullion banks worldwide suggest that institutional and hedge fund investors have yet to come in, signalling a potentially sharper increase in demand as European and US markets open.

The intense political uncertainty that advanced economies now face, combined with the unknown aftermath of years of unconventional monetary policies (quantitative easing, zero and now negative interest rates) will make gold particularly valuable to investors in the coming years.

Gold is the only de-facto currency that cannot be debased by printing more of it, and the only one that does not carry political risk. There is a reason why gold has outperformed every major currency throughout history.

World Gold Council