Gold prices rise as US election chaos escalates

Gold prices rose as markets assessed President Joe Biden’s decision to withdraw from the presidential race, raising new questions about whether the move will help or hinder Donald Trump’s chances of returning to the White House.

Gold prices rose as much as 0.5% in early trading in Asia, as the metal benefited from safe-haven appetite amid growing uncertainty over the turbulent US election campaign.

The dollar’s decline as markets opened on Monday also provided support for gold, with traders likely leaning into the idea that Trump – if he wins the election – will push for a weakening of the US currency. A rise in the dollar is usually negative for bullion that is priced in dollars.