Bullion hurtled toward 3 percent gains on Friday as the first half of the year came to a close. The driver of the sharp gains was leaders of the European Union committing to boost regional banks' liquidity as the second of two days of meetings comes to a close in Brussels.
But one commodity broker viewed gold's best gains since January 6 as ephemeral.
"I'm afraid … this news … is no more than a sticking plaster on an amputation, and as such while the markets will for the moment react favorably, in the long run we still have a long way to go," states a note penned by Marex Spectron.
At 8:41 a.m. on Friday, gold futures surged 2.77 percent, a $43 lift to $1,593.40 per troy ounce.
MarketWatch reports president Herman van Rompuy with the European Council proposed the creation of a single supervisory mechanism to enhance liquidity at European banking systems and regional banks.