Bank of America: Trading Strategies Amid Election Tension
Bank of America: Trading Strategies Amid Election Tension
Commodity trading advisors are shifting towards buying gold, the dollar, and U.S. stocks ahead of the presidential election.
Advisors hold largely short positions in U.S. Treasuries.
High positions in U.S. stocks among trend followers are likely to lead to selling, especially after last week’s S&P 500 losses.
Short gamma on the S&P 500 may become shorter if stocks decline further.
Increased futures buying of the dollar and gold reflects rising safe-haven demand due to the tight election race between Trump and Harris.
