Dollar falls as Biden drops out of presidential race - Bloomberg
Kyiv • UNN
The dollar declined and bond yields rose after Biden announced his withdrawal from the election campaign. European equity futures rose, Chinese bonds strengthened, and investors reassessed their strategies.
The dollar fell, while Treasury yields rose after Joe Biden announced the end of his re-election campaign and expressed support for Vice President Kamala Harris. Written by UNN with reference to Bloomberg.
European equity futures pointed to an increase in value at market open. The Bloomberg Dollar Strength Index fell by 0.1%, and the 10-year US Treasury yield fell by 2 basis points. The Mexican peso strengthened, gold rose, and bitcoin hit its highest level in more than a month.
Euro Stoxx 50 stock futures rose by 0.5%, reflecting a moderate rise in US equity futures, which moved away from the decline in Asian stocks, which continued to suffer from weakness in the technology sector. Chinese bonds strengthened after the central bank cut its discount rate, which caused the 10-year sovereign bond yield to drop by 2 basis points, while the country's stocks fell due to the lack of strong stimulus measures after the recent Communist Party meetings.
Investors have long discussed the likelihood of Donald Trump winning the November election after Biden's poor performance at the debates. However, the odds on Trump's victory increased last week after an assassination attempt on the Republican candidate. Investors are now wondering whether to continue investing, given that Biden has given up on running for re-election.
Recall
Yesterday, US President Joe Biden announced that is withdrawing from the race. The White House leader withdrew his candidacy from the US presidential election.
