Gold prices rebounded off three-week lows benefiting from a retreating US Dollar which slipped against the Euro.
EURUSD declined all throughout the European session from 1.4282 down to 1.4194.
Spot gold rose today starting from the Asian open from $1484.18 all the way to $1,498.38 in the US session.
U.S. gold futures for June delivery rose $14.30 an ounce to $1,494.50.
A weaker Dollar makes assets priced in Dollars, such as gold, to become more affordable.
Demand for the physical commodity has also picked, for gold bars and coins.
“The demand for physical is rather interesting again,” said Afshin Nabavi, head of trading at MKS Finance. “Gold could not break $1,470 yesterday, and so a bit of short covering overnight, as well as this demand, has taken us higher.”