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U.S. Elections: uncertainty effects global stocks, dollar

Pre-election jitters for international markets

On the brink of the US elections, democratic presidential candidate Hillary Clinton has been associated with stability among the international financial and investment markets, in harsh contrast to her Republican opponent, Donald Trump.

The prevailing uncertainty concerning the outcome of the U.S. elections on November 8 worries financial markets and investors, who are now including in their plans the possibility of victory by the Republican party.

Global equity prices and the U.S. dollar have slumped for the second day straight, while gold has rallied as investors shun risk in response to indications that the gap is closing in the U.S. presidential race, just days before Americans cast their ballots.

According to Reuters, uncertainty about the outcome of the U.S. presidential elections has resulted in a slump in oil prices on data  revealing a record U.S. crude stock build that has caused worries about a persistent global supply glut.

Trump has pledged to separate the investment and commercial activities of banks if he wins the elections, intensifying concern among bankers in the United States, while Clinton has proposed changes in the taxation of banking transactions instead.