Markets Tumble Amid U.S. Election Uncertainty and Dollar Gains

Global stocks witnessed a decline due to investor apprehensions ahead of the U.S. election, with gold prices falling as the U.S. dollar strengthened. Despite expectations of Federal Reserve interest rate cuts, Wall Street indices closed lower. Concerns linger over upcoming elections and potential policy impacts under different administrations.

In a subdued trading session, global stocks fell on Wednesday as investors grappled with concerns linked to the upcoming U.S. election. The declining trend in gold prices, retreating from previous highs, was largely driven by a stronger U.S. dollar.

Despite anticipation of Federal Reserve interest rate reductions, all main Wall Street indices ended the day in red, dragged down by losses in sectors like consumer discretionary, technology, and communication services. Real estate and utilities emerged as the top gainers.

Tensions surrounding the election outcomes added volatility, with potential policy shifts under a possible Trump administration, including tariffs and immigration restrictions, raising investor nerves. Additionally, oil prices dipped due to higher-than-expected U.S. crude inventories.

(With inputs from agencies.)