On Thursday, gold prices showed mixed dynamics amid deteriorating prospects for a rate cut by the Federal Reserve (Fed) as well as the delay in negotiations on a peace agreement between Hamas and Israel.
The XAU/USD pair rose 0.10% over the past 24 hours to 2,311.38, while June US gold futures fell 0.19% to $2,318.00.
Gold was supported by better-than-expected export data from China, a key precious metals market, and the release of a World Gold Council report that pointed to continued demand from central banks and Asian buyers.
"Gold hit new record highs in April but pulled back towards the end of the month, with purchases by China and other global central banks appearing to be the main driver of support," the report said.
In addition, the impasse in ceasefire talks between Israel and Hamas, as well as reports of a deteriorating situation in Ukraine, are boosting safe-haven demand for gold, according to FX Street.
At the same time, expectations of high interest rates in the US in the future are putting pressure on underperforming gold.
Federal Reserve Bank of Boston Governor Susan Collins said she was not surprised by the latest inflation data, so she believes the US economy needs to slow further to bring inflation back to the central bank's 2% target.
Still, markets are betting that the Federal Reserve will cut interest rates sometime in the third quarter.
Traders are now awaiting the weekly report on US initial jobless claims and a speech by Mary Daly, head of the San Francisco Fed.
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