BofA: Investors buy gold in bulk ahead of US election

According to Gold Ten News, Bank of America strategist Michael Hartnett said investors continue to buy gold in large quantities ahead of the U.S. election as a hedge against a possible return to higher inflation. Gold prices hit a record high on Wednesday, with gold funds posting their biggest one-week inflows since July 2020. Other recently popular trades, such as selling bonds and buying AI stocks, have maintained momentum ahead of the Nov. 5 election. At one point this week, the yield on the 10-year U.S. Treasury note topped 4.2 percent, its highest level since July last year, while shares of Nvidia hit an all-time high. The gold trade is part of a broader strategy by investors to allocate portfolios in the event that Trump could win the election. The dollar also rallied as investors bet that a win by the Republican candidate would trigger a rebound in inflation, a rising budget deficit and a potential trade war with China.