Against this backdrop, demand for gold persists, with the bullion jumped to fresh six-year highs just below $1,1525. The technical picture improved further after a break above the $1,500 handle, and the bullion could go even higher despite overbought conditions as risk-off sentiment prevails in the global financial markets.
In the short-term, however, the precious metal may face a risk factor in the form if the US CPI report. Should the data come in line with expectations or exceed the forecast, the greenback could stage a short-lived rally across the board. In a wider picture, gold prices will likely remain within a firm uptrend as trade tensions between the US and China are far from being resolved, and the escalation may take place at any moment.