What's in store for the rest of the year?

With the end of the year just around the corner, there is no shortage of events that could affect the markets, both positively and negatively, in the coming months. So be prepared. 

First geopolitics. Even if the situation in the Middle East calms down soon — which seems unlikely, given the possibility of Iran responding to Israel's actions — new risks are emerging in Asia. 

Recently, China conducted large-scale military exercises around Taiwan, simulating attacks against sea and land targets to “test joint operations capabilities” and serve as a “stern warning to separatist forces.” 

Taiwan's Ministry of Defense condemned the actions as "irrational and provocative," stating its forces are ready to defend the island. While markets are used to these tensions, they still have an impact. 

Then, North Korea blew up two roads in South Korea, symbols of its reconciliation in the 2000s. Before that, Kim Jong-un accused Seoul of military provocation and ordered the military to defend its sovereignty. 

The fire seems ready, just waiting for a spark to ignite everything. Of course, we hope it doesn't come to that, but there have been too many conflicts lately to ignore the possibility of the worst happening. 

Why gold price is not yet at $2,800 an ounce could be a matter of time. 

The key is that the uptrend remains solid, and central banks continue to buy it. Once the dollar stops strengthening, it will open the way to new highs. Silver (XAGUSD) could also follow the uptrend. 

Another important event for the markets will be the U.S. presidential election, which is just three weeks away. In the race for victory, both sides could make unexpected moves. 

For example, Kamala Harris has announced plans to support a regulatory framework for cryptocurrencies to protect investors who own digital assets like BTCUSD. 

It also plans to legalize cannabis throughout the country. As for motives, it is worth noting that in May, reports showed that marijuana consumption in the United States surpassed that of alcohol for the first time. 

Finally, the Federal Reserve's interest rate meeting is on November 5. Despite recent data showing a slowdown in US disinflation, market bets point to the regulator cutting rates by 25 basis points. 

However, Atlanta Fed President Raphael Bostic hinted that the Fed could pause if data suggests caution is needed. Judging by continued risk-off sentiment, investors do not expect that to happen.

On the date of publication, TradingView did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.