Gold Has Priced In a Midterm Sweep but Not a GOP Surprise

Gold price risk at the midterm elections lies in a Republican upset, since a Democrat sweep of Congress is already priced in. Rhona O'Connell, StoneX Head of Market Analysis, EMEA & Asia, explains why gold and silver came under pressure, what a Democrat-controlled Congress can and cannot change, and where physical demand is returning. Gold and silver fell as pressure on high tech stocks led portfolio managers to sell gold to raise liquidity against potential margin calls. A Democrat majority in both chambers could block further reconciliation bills, attach conditions to must-pass spending, run oversight hearings and control Senate confirmations, including Fed governors. Congress gives the Federal Reserve its mandate, but monetary policy stays with the FOMC, which keeps the December Fed decision in focus for gold. In Asia, a firmer Chinese yuan has lifted Shanghai gold to a slight premium over London, while Indian jewelers restock ahead of Dhanteras and Diwali and India's new silver import quotas aim to keep liquidity flowing. 0:00 Tech Selloff Drags Gold Lower 1:57 Democrat Congress Power Map 3:52 Fed Stays Beyond Congress 4:48 Midterm Sweep Priced Into Gold 5:44 India Restocks Gold for Diwali 7:39 Gold Turns to the December Fed Discover Actionable Insights with StoneX Market Intelligence: https://shop.stonex.com/collections/all?utm_source=youtube&utm_medium=social&utm_campaign=sxtv_guest_rhona_o_connell&utm_content=share Like and subscribe for more financial market insights. #Gold #StoneX #RhonaOConnell #Silver --------- Like this video? Subscribe and turn on notifications so you don't miss any videos from StoneX: https://www.youtube.com/@stonex_official Visit https://www.stonex.com/en/insights/thought-leadership/?utm_source=youtube&utm_medium=social for insights, perspectives and thought leadership from StoneX's global network of experts. Visit our website: https://www.stonex.com?utm_source=youtube&utm_medium=social