24.07 - Gold continued to gain traction for the sixth consecutive session on Friday
- by George Solotarov
Gold edged higher during the early European session and refreshed daily tops, around the $1895 region in the last hour, albeit lacked follow-through.
Following the overnight modest pullback from the vicinity of the $1900 mark, or fresh multi-year tops, the precious metal regained traction and turned positive for the sixth consecutive session on Friday. The uptick was sponsored by a fresh wave of the global risk-aversion trade, which tends to benefit traditional safe-haven assets, including gold.
Concerns about worsening US-China tensions added to the economic uncertainty created by COVID-19, which took its toll on the global risk sentiment. The anti-risk flow was further reinforced by a weaker tone surrounding the US Treasury bond yields, which provided an additional boost to the non-yielding yellow metal and remained supportive.