Oil rose toward $38 a barrel and gold climbed for a third day as President-elect Joe Biden prepared to transition into the White House even as Donald Trump rejected the outcome of the US election.
Crude futures in New York increased 2.2% and spot gold added 0.1% amid a broader gain in Asian stocks. The dollar was marginally lower. While Biden declared victory and prepared to navigate America’s pandemic-hit economy out of the crisis, the unresolved status of Senate control may dampen prospects for a major stimulus package before January. Meanwhile, Trump’s campaign team mounted lawsuits in key states after alleging election fraud.
Biden inherits a divided country and an economy ravaged by the coronavirus as infections race toward 10 million. A second Covid-19 wave has led to lockdowns across Europe, raising concerns the demand recovery may be derailed amid rising crude supplies from Libya. Officials from the Organization of Petroleum Exporting Countries and allied producers offered support for a review and delay in the group’s plans to roll-back output curbs, lifting oil prices last week.
