Factors that will drive the precious metal higher include the sovereign debt crisis tearing through the euro zone. German Chancellor Angela Merkel indicated negotiations will ensue over differences about how Greece may be best helped by Germany, recognized as the owner of the euro zone's strongest economy.
"The market remains very jittery and there is still far too much uncertainty over Greece," according to a Friday report by analyst Andrey Kryuchenkov of VTB Capital in London. "Global risk sentiment is still sour and bullion could well rally to May highs given a renewed flight to safety should matters worsen."
At 8:52 a.m. on Friday, gold futures were slightly up 0.03 percent, a 40 cent rise to $1,530.30 per troy ounce.
Reuters reports the German overture also benefited the euro, which is the European Union's shared currency. The chancellor, appearing at a news conference with French Premier Nicolas Sarkozy, committed to working with the European Central Bank for Greece's sake.
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