The price of gold on Friday has stabilized at three-week high amid the dollar recovery and is ready to complete the growth of the second week in a row.
Gold has increased in price by almost 2 % this week after data on new jobs in the United States, which failed to meet expectations, have reduced the likelihood of the seemingly inevitable rise in interest rates of the Fed, although data on applications for unemployment benefits on Thursday returned the confidence in the US labor market.
The nervousness about the UK referendum on its membership in the EU June 23 may also support the price of gold over the next few weeks, analysts said.
"The market is no longer worried that the Fed will raise rates next week; the investors are worried because of the UK referendum, which is likely to contribute to an increase in demand for gold." - said a senior analyst at Danske Bank, Jens Pedersen.
This is confirmed by the fact that people in London are actively buying precious metals and coins in case the Brexit becomes real.
Gold was traded at $ 1266.81 per ounce, the maximum from May 18, compared with $ 1268.40 at the close of trading on Thursday, when it renewed the three week peak at $ 1.271,31.
The futures in the US fell $ 2.8 to $ 1269.90 per ounce.
"The unexpectedly weak data on US employment last week and the subsequent careful tone (Fed chief Janet Yellen) opened the door for the resumption of the bullish cycle in the gold market," - said the ANZ analyst Daniel Hynes.
The assets of the world's largest gold exchange-traded fund (ETF) SPDR Gold Trust on Thursday rose 0.71 % to 887.38 tons, the highest since October 2013.
Silver was traded at $ 17.263 per ounce, compared with $ 17.28 at the close of trading on Thursday; platinum was at $ 993.58 compared to $ 998.50, and palladium - $ 550.03 versus $ 557.86.