Gold prices in India rose on Thursday, almost wiping out losses made on the previous day.  As per analyst point of view, Gold could surge in the short term if there is a contested election.  The results of the presidential elections remain unclear as Democratic candidate Joe Biden picked up a triumph in Wisconsin while still fighting President Donald Trump in other battleground states.

On the Multi Commodity Exchange (MCX), Gold futures climbed as much as Rs 710 during the day’s high of Rs 51,530 per 10 grams after a correction of Rs 800 seen on Wednesday.  In the international market, prices of Gold remained flat with spot gold little unchanged at USD 1,904.66 per ounce, even as a possibility of a contested election looms. Gold gains in times of uncertainty as the investors seek to keep funds in the safe-haven assets rather than risk it in the stock markets.

Coming to US poll scenario, neither of the candidates has secured the 270 Electoral College votes needed to determine who wins the White House. Biden is moving closer to winning with 264 votes thus far, whereas Trump has 214 votes. Trump's party has filed multiple lawsuits and requested a recount in votes in several battleground states, which will lead to a contested election outcome.

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