Market participants braced for volatility on Monday (July 15), gravitating toward safe-haven assets following an assassination attempt on former US President Donald Trump over the weekend.
Gold closed at US$2,411.23 per ounce on Friday (July 12) and rose as high as US$2,433.32 on Monday (July 15).
The assassination attempt occurred at a rally in Pennsylvania on Saturday (July 13). A shot hit Trump’s right ear, and he was quickly taken off stage; his campaign later reported that he sustained only a minor wound.
On the flip side, safer sectors are likely to benefit, at least in the near term.
The dollar, which has been softening due to the market’s perception that the US Federal Reserve may cut interest rates in September, could gain if the safety trade gains momentum, he told the news outlet.
Jack Ablin, chief investment officer at Cresset Capital, highlighted the aggravating role of political violence. “The specter of political violence introduces a whole new level of potential instability. It’s uncertainty and volatility, and of course markets don’t like that. The attempted assassination probably enhances Trump’s reputation for strength,” he said.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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