US election 2016: Investors pour money into gold and bitcoin as Trump victory nears

Wednesday, November 9, 2016

Investors have reacted to Donald Trump's impending US election triumph by pouring their money into havens both old and new.

The price of gold, one of the oldest and most familiar havens known to investors in times of uncertainty, has soared - as has bitcoin, a refuge which is almost brand-new.

Reuters reported that gold was up nearly 5% in early trade Wednesday, soaring to its highest level in nearly six weeks and posting its biggest one-day gain since June 24 - the day after Britain voted to leave the European Union.

Meanwhile the price of bitcoin was up 2.6% at $724 in recent trade, with the bulk of trading conducted in dollars, according to cyrptocurrency data platform CoinMarketCap.

Investors have grown to like bitcoin over recent years because, as a virtual currency, it is borderless and frictionless, immune to currency manipulations and dramatic fluctuations.

The dollar looks set to crash in response to news of Trump's imminent victory, which looks certain to be confirmed with the Republican presidential candidate needing just 25 electoral votes to reach the White House.