Gold was sitting at around $US1220 an ounce this morning, but had risen to $1230/oz in recent hours. 

ANZ Research noted that the chances of a June US interest rate rise had jumped to 34% from just 4% 10 days ago.

But despite a looming rate rise, industry commentators say there is plenty to spur on gold.

“What you need is something that drives uncertainty,” Deloitte Access Economics director Chris Richardson told the Resources Rising Stars conference on the Gold Coast yesterday.

“And I’m happy to report that the world remains an extremely volatile place.

“This is a play around uncertainty.”

Northern Star Resources managing director Bill Beament said this week that the environment for gold was positive.

“Gold’s friend is uncertainty,” he said. 

The Australian gold price is above $A1700/oz still, but Beament remains bullish on the US gold price, especially in light of the election coming up in November.

“The gold industry should get behind Donald Trump,” he joked.

IG analyst Joshua Mahony said the Fed’s recent hawkishness was likely more the board members trying to adjust expectations.

“June certainly remains ‘live’ as a possibility and the result of next week’s jobs report will be crucial to determine the likeliness of it happening,” he said.

“Other than that, the July meeting seems more likely from a timing point of view, but given the lack of a press conference, many believe it may be pushed back to September.”