When we set out to find out whether gold prices more typically rise or fall more under Democratic or Republican presidents, we came up with some surprising statistics, as you will see below.

Image of Democratic Donkey vs Republican Elephant, in suits, for Gold Refiners post, Would Gold Prices Rise More Under Democratic or Republican administrations? Credit: jgroup/iStock.

But before you get your hands dirty by digging into our findings, how useful are they? Can you use them to conclude that gold prices will rise more if our next president is a Republican, for example? The answer is no, you can’t, any more than you can trust the "common wisdom" about gold.

As you will see below, the largest percentage increases in gold prices occurred under Jimmy Carter (+148%), Richard Nixon (+348%) and George W. Bush (+293%). And of course, none of those presidents woke up one day and decided, “I am going to raise gold prices today,” because presidents don’t get to set prices; gold prices rise or fall according to hundreds, if not thousands, of marketplace influences. And we have to remember that since 1953, the trading price of gold has risen from $35.50 to $1087.50. So when you look at these presidents, chances are pretty good that prices rose while they were in office, right? They’ve all sort of rode on an upward curve.

So, why are we presenting these figures, if they cannot be used reliably to predict the future? There are a few reasons.

First, the statistics show that gold prices have sometimes surged in big ways. That tells us that more surprises could lie ahead.
Second, they tell us that all the prognostications we are hearing about coming changes in gold prices are highly speculative. I mean, who really knows what is going to happen?
Third, they are just doggone fascinating in a lot of ways. It is interesting to see, for example, that the economic policies of Ronald Reagan, who is lauded for his visionary philosophy of trickle-down economics, had a negligible effect on the price of gold. Meanwhile, gold prices surged 148% when Jimmy Carter was president, and most people now dismiss his economic policies as disastrous and flawed. And then we come to Bill Clinton, who is generally viewed as a president who stimulated the economy and who replaced the deficit with a budget surplus. During his years in office, the trading price of gold fell 29%.

So, go figure.

Image of the White House for for Gold Refiners post, Would Gold Prices Rise More Under Democratic or Republican administrations? Credit: vacclav/iStock.

The Statistics, Please

Now let’s take a look at what has happened to gold trading prices under each president since 1953.

34th President: Dwight D. Eisenhower (1953-1961, Republican)
Gold prices per ounce at start of term: $35.50
Gold price per ounce at end of term: $35.50
Overall percentage change in the prices of gold: none

35th President: John F. Kennedy (1961-1963, Democrat)
Gold prices per ounce at start of term: $35.50
Gold price per ounce at end of term: $35.25
Overall percentage change in the price of gold: negligible

36th President: Lyndon B. Johnson (1963-1969, Democrat)
Gold prices per ounce at start of term: $35.25
Gold price per ounce at end of term: $41.00
Overall percentage change in the price of gold: +16.3%

37th President: Richard Nixon (1969-1974, Republican)
Gold prices per ounce at start of term: $41.00
Gold price per ounce at end of term: $183.77
Overall percentage change in the price of gold: +348%

38th President: Gerald Ford (1974-1977, Republican)
Gold prices per ounce at start of term: $183.77
Gold price per ounce at end of term: $161.10
Overall percentage change in the price of gold: -12.33%

39th President: Jimmy Carter (1977-1981, Democrat)
Gold prices per ounce at start of term: $161.10
Gold price per ounce at end of term: $400.00
Overall percentage change in the price of gold: +148%

40th President: Ronald Reagan (1981-1989, Republican)
Gold prices per ounce at start of term: $400.00
Gold price per ounce at end of term: $401.00
Overall percentage change in the price of gold: negligible

41st President: George H.W. Bush (1989-1993, Republican)
Gold prices per ounce at start of term: $401.00
Gold price per ounce at end of term: $391.75
Overall percentage change in the price of gold: -2.3%

42nd President: Bill Clinton (1993-2001, Democrat)
Gold prices per ounce at start of term: $391.75
Gold price per ounce at end of term: $276.50
Overall percentage change in the price of gold: -29%

43rd President: George W. Bush (2001-2009, Republican)
Gold prices per ounce at start of term: $276.50
Gold price per ounce at end of term: $1087.50
Overall percentage change in the price of gold: +293%

44th President: Barack Obama (2009-present, Democrat)
Gold prices per ounce at start of term: $1087.50
Gold price per ounce today: $1,226.50
Overall percentage change in the price of gold: +13%

How Should You Prepare for Possible Price Changes?

We would urge you to call us about opening a Specialty Metals Gold Pool Account, a special account that lets you specify the price at which you would like us to liquidate your recyclable and other gold. When prices reach the point you specify, we liquidate them and issue you immediate payment. You are invited to call us at 800-526-2344 to learn more.

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Do Gold Prices Rise More Under Democratic or Republican Administrations?

The Statistics, Please

How Should You Prepare for Possible Price Changes?

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