By Bryan Wong
Investing.com- Gold was down on Friday morning in Asia, taking a break from five days of increases that have taken prices close to all-time highs set in 2011.
Gold futures were down by 0.08% to $1,888.55 by 12:04 PM ET (5:04 AM GMT).
Despite the pullback, gold futures are still up from the same time a day earlier with spot gold continuing to advance on the record $1,921.17 set nine years ago.
The morning pullback happened as the euro hit a high mark against the US dollar not seen since 2018 and stock markets in the region pulled back. Equities markets also fell during the Thursday trading session in North America.
Gold has been on a relentless push upward this week thanks to low interest rates and negative bond yields. Economic uncertainty created by Covid-19 has also pushed gold, with cases in the U.S. topping 4 million after doubling in just six weeks. A ratcheting up of tensions between the U.S. and China has added to the global economic uncertainty that has given gold a boost this week.
Some expected the pullback to be short-lived and the move upwards to continue.
“The dollar has rebounded slightly and gold and silver, as well as major currencies, have eased off the highs correspondingly,” ThinkMarkets analyst Fawad Razaqzada told Bloomberg. “However, as there is no fundamental reason behind the move, I think it is purely driven by profit taking.”