History shows that gold prices also fall leading into a rate...

History shows that gold prices also fall leading into a rate hike and generally rise, though sometimes with a lag, after the first rate hike… Investors unload gold in anticipation of tightening monetary policies.

This negative pressure is sustained until the Fed announces a rate hike, which then eases the negative sentiment towards the yellow-metal. This explains the subsequent rallies in gold that occurred shortly after the Fed announced the first rate hike in the last four tightening cycles.



The same thing happened prior to 2015 and into 2016 of this current hike cycle. Nothing has changed to suggest anything else in my opinion. Also:


The 5-10% import tariff..... These tariffs would be in line with Trump’s campaign motto of “America First.”A trade war would come just at the nick of time. With the dollar high and US exports already in decline, retaliation by other countries to Trump’s tariffs would surely be a disaster for the S&P 500 companies: they generate nearly 50% of their revenues overseas. They need those sales.
The new tariffs could be imposed by executive order or by Congress as part of broader tax reform legislation.