Gold Price News and Forecast: XAU/USD returns to $1,712 and turns positive on the day

27 May 2020, 19:08 by FXStreet Team

Gold picks up as market sentiment sours

XAU/USD has bounced up from two-week lows sub $1700 on Wednesday and is turning positive on the daily charts. The precious metal has reached $1,712 area, appreciating about $15 during the US session as market risk appetite faltered after US President Trump stirred the already delicate US-China relationship.

Gold Price Analysis: RSI failure swing suggests some near-term relief after $1700 provides support

Gold has been moving lower in recent sessions as the risk-on environment gathers momentum. Yesterday the companies worst-hit by COVID-19 recovered somewhat as airlines/travel and banks outperformed even the tech sector. This shows that the bounce-back might be becoming more broad-based. This had negative connotations for the safe-havens including gold which moved even further into the red and on Wednesday the precious metal attacked USD 1700 per troy ounce.