2020.11.0310:03:00UTC+00Gold Edges Higher On Dollar Weakness

Gold prices rose slightly on Tuesday as the dollar sold off amid a rally in global equities on the eve of the U.S. presidential election.

Spot gold edged up 0.2 percent to $1,898.59 per ounce, while U.S. gold futures were up 0.4 percent at $1899.15.

Equity markets rallied as investors put coronavirus worries on the back burner for now and shifted their focus towards the presidential U.S. election.

Democratic Party candidate Joe Biden holds a lead in national polling over President Donald Trump, but polling averages are tighter in several battleground states.

Expectations remain high that Biden might push for a bigger U.S. stimulus and take a freer approach to trade, if he unseats Trump.

Risk sentiment also remained well supported by Monday's upbeat manufacturing PMI prints from major economies.

Monetary policy announcements from the Federal Reserve and Bank of England are due on Thursday, while the U.S. Labor Department will release its market-moving monthly jobs report on Friday.

No one expects any change to the fed funds rate target, but policymakers are likely to reaffirm their commitment to support the pandemic-struck economy.

The Bank of England is likely to increase its bond-buying program by 100 billion pounds as England enters second national lockdown.