Gold prices edged up on Tuesday as political uncertainty accelerated ahead of the first presidential election debate between U.S President Donald Trump and his Democratic rival Joe Biden.
Republican President Donald Trump and Democratic rival Joe Biden will square off for the first time on Tuesday in a fiery market-moving debate, which is expected to be one of the most watched presidential debates ever in modern history.
President Trump will aggressively challenge Biden’s record on issues such as trade, energy and taxes. Trump, who has repeatedly cast doubt on the integrity of the election, is likely to face questions about his refusal to commit to a peaceful transfer of power should he lose.
Biden, will outline where Trump has fallen short of his own promises during his current term as President. He also is certain to press his criticism of Trump’s handling of the Covid-19 pandemic.
The stakes are definitely high as the two White House candidates take the stage five weeks before the November 3, election.
Elsewhere this week, traders will be closely monitoring Friday’s U.S Non-farm Payroll figures. This month the Fed announced a big shift in their monetary policy strategy – with the goal of the placing their primary focus on achieving maximum employment.
If the Fed is focusing exclusively on employment to determine future quantitative easing measures – then so should traders, as this data will have an enormous influence on gold’s next big move.
Expect higher than usual volatility over this next quarter, as we enter a very exciting and highly lucrative event-driven period.