PT Solid Gold Berjangka | Gold Climbs as Biden’s Election Withdrawal Injects Fresh Chaos
GOLD EMAS Spot Emas Gold Spot PT SGB Solid Group SG Berjangka Solid Gold Berjangka
Solid Gold Berjangka | Gold prices rose as the market weighed President Joe Biden’s decision not to seek reelection, sparking new questions about whether the move will help or hinder Donald Trump’s chances of returning to the White House.
Bullion rose 0.5% in early Asian hours, benefiting from a preference for havens amid growing uncertainty over the U.S. presidential race, which is already a tumultuous campaign. Biden said he would serve out his full term, but endorsed Vice President Kamala Harris.
Trump is the clear front-runner in polls as the run-up to the November general election accelerates, with support for the Republican candidate who was grazed by an assassin’s bullet at a rally in Pennsylvania on July 13.
The dollar’s decline at the start of the market on Monday also boosted gold. Traders may be leaning toward the idea that Trump, if elected, will push for a weaker U.S. currency. A stronger dollar would be a negative for gold bullion, which is normally traded in dollars.
However, there are mixed views on what a Trump victory would ultimately mean for precious metals. In some markets, bets are increasingly being placed on so-called “Trump trade” amid expectations of higher trade tariffs, increased U.S.-China tensions, and an easing of fiscal policy under President Trump. As a result, the dollar is being bid up and government bond yields are rising, a headwind for gold, which does not pay interest.
Gold bullion has gained support since the beginning of the year, hitting a record high last week, as the Federal Reserve is increasingly seen as pivoting toward monetary easing. Lower interest rates are usually positive for gold.
Spot gold was up 0.3% at $2,408.99 as of 8:12 a.m. in Singapore. The Bloomberg Dollar Spot Index was down 0.2%. Silver, platinum, and palladium all rose.
Source: Bloomberg