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Gold Prices Gain Ahead of Election Day

Stock quotes in this article: AEM, EGO, ABX, KGC, GLD 

NEW YORK (TheStreet) -- Gold prices were gaining Monday as investors prepared for Tuesday's U.S. presidential election.

Gold for December delivery was up $8.60 to $1,683.80 an ounce at the Comex division of the New York Mercantile Exchange. The gold price traded as high as $1,684.70 and as low as $1,672.50 an ounce, while the spot price was adding $6, according to Kitco's gold index.

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"As far as trading in the metals, there hasn't been a lot, we haven't seen anything. We really didn't have any economic data, the dollar is a little stronger, but this is just coming back cause it was over sold on Friday," said Phil Streible, senior commodities broker at RJO Futures.

Streible said, though, that most of the chatter he had heard on Monday concerned the upcoming election and what a victory for either side would mean for the yellow metal.

In the event of a Barack Obama victory, investors see more of the same policies. "Fiscal irresponsibility, (Federal Reserve Chairman) Ben Bernanke going all the way through [his term], quantitative easing full throttle, weaker dollar," said Streible.

Mitt Romney could be a net negative for the yellow metal. "You get Romney and he's planning on shrinking the government, cutting spending, becoming more fiscally responsible ... so you're probably going to see a stronger dollar, weaker metal on him," said Streible.

Silver prices for December delivery was climbing 14 cents to $31 an ounce, while the U.S. dollar index was up 0.21% to $80.73.

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