Gold prices jumped to a new record on Friday, to resume gains after taking a breather yesterday, as the US dollar fell against a basket of currencies, while heading for the best monthly performance since 2011, on strong safe-haven demand.

Gold prices rose 1.4% to the all-time high of $1,982.83 an ounce, after opening at $1,955.77, with a session-low of $1,955.07.

Gold lost 0.8% yesterday, posting its first daily loss in 10 days, and ended the longest winning streak since December 2019 on profit-taking.

The dollar index fell 0.2% today, to extend its losses for the third day, and hit a 2-year low of 92.55 points, which comes in favor of gold and other dollar-denominated metals prices.

This drop in the US dollar came after US President Donald Trump raised the possibility of delaying general election from November.

Gold prices have gained 11% so far during July, to head for the fourth straight monthly gain, and the largest since March August 2011, thanks to strong safe haven demand.

This came due to high risks in most global markets, chief among those are the geopolitical tensions between the US and China, and gloomy inflation prospects due to the massive stimulus plans by most global central banks to address the coronavirus impact.

Gold stocks at the SPDR ETF remained unchanged yesterday, with the total at the highest level since May 2013 of 1,241.96 metric tonnes.

EUR/USD rose to 26-month peak on track for the largest monthly profit in ten years after the historic financial rescue deal in Europe. 

EUR/USD rose 0.5% to 1.1908, the highest since May 2018, after closing up 0.5% yesterday. 

 The dollar index shed 0.2% on Friday on track for the third loss in a row, marking two-year lows at 92.55. 

The US Federal Reserve voted on Wednesday to maintain rates near zero while asserting its readiness to use all available tools to bolster the economy against the pandemic.

The Fed stressed after its 2-day meeting that a full economic recovery will depend on containing the coronavirus pandemic.

Euro is up 6% so far against dollar in July, which would be the largest monthly profit since September 2010. 

After long and difficult negotiations, EU leaders reached a historic deal to launch a fund to support most impacted nations from Covid 19. 

The fund amounts to 750 billion euros, with the European Commission tasked with gathering the sums, with the fund considered the biggest financial collaboration in the history of the EU. 

Recent European data showed excellent growth in the industrial and services sectors, in turn bolstering risk appetite and euro. 

Asian stock indices opened the last session of July mixed, with Japan, Australia, and South Korea down, while China, New Zealand, and Hong Kong gained ground, following earlier data from major economies. 

Earlier Japanese data showed industrial output rose 1.7% in June, compared to a 8.9% drop in May. 

Unemployment in Japan fell to 2.8% from 2.9%, while the consumer sentiment index rose to 29.5 from 28.4. 

Earlier Chinese data showed the manufacturing PMI up to 51.1 in July from 50.9, while the services PMI inched down to 54.2 from 54.4. 

Australia's producer prices fell 1.2% in the second quarter, compared to a 0.2% rise in the first. 

Japan's TOPEX tumbled 1.8%, while Nikkei 225 slid 1.87% to 21,920. 

China's CSI 300 rose 0.19%, while Shanghai inched up 0.19% to 3,292. 

Hong Kong's Hang Seng edged up 0.12%, while South Korea's KOSPI inched down 0.36% to 2,258. 

New Zealand's NZX 50 rose 0.08%, while Australia's S&P/ASX 200 slid 1.81% to 5,941. 

Gold futures rose in Asian trade to near record highs as the dollar index fell to May 2018 lows, following earlier data from China, the world's largest metals consumer, and ahead of US data. 

As of 04:06 GMT, gold futures due in December rose 0.80% to $1,989 an ounce, while the dollar index inched down 0.21% to 92.63. 

Earlier Chinese data showed the manufacturing PMI up to 51.1 in July from 50.9, while the services PMI inched down to 54.2 from 54.4. 

From the US, personal spending is expected up 5.3%, slowing down from 8.2% in May, while personal income is expected down 0.8%. 

US labor unit costs are expected up 0.6%, slowing down from 0.8% in the first quarter, while the Chicago PMI is expected up to 44 from 36.6. 

University of Michigan's consumer confidence survey is expected down to 72.9 from 78.1 in June. 

The US Federal Reserve voted on Wednesday to maintain rates near zero while asserting its readiness to use all available tools to bolster the economy against the pandemic.

The Fed stressed after its 2-day meeting that a full economic recovery will depend on containing the coronavirus pandemic.

Gold's recent spike came as haven demand rallied for the precious metal as US-China tensions mounted and Covid 19 infections picked up in Europe, especially Spain. 

The gains also came as the US dollar fell due to the US 10-year Treasury bonds yield's drop, and expectations for further quantitative easing by the Federal Reserve to ease the coronavirus impact on the economy.

Recent data showed global gold funds reported an increase of 2.7% in cash flows, adding 104 metric tonnes of gold, or about $5.6 billion in June, with total increases in the first half of 2020 reaching $39.5 billion, a record high on haven demand.