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Gold's (XAU/USD) is trading on the back foot amid risk-on action in the equity markets.

As of writing, the yellow metal is changing hands at $1,345 - down 0.20 percent on the day. Meanwhile, the S&P 500 futures are reporting a 0.27 percent gain.

However,  Asian indices are trading mixed. For instance, Chinese stocks are down 0.34 percent and South Korea's Kospi has shed 0.21 percent. On the other hand, Australia's S&P/ASX 200 is up 0.30 percent, possibly due to RBA's dovish take on the interest rates.

Gold's decline is somewhat surprising as the relentless flattening of the yield curve is USD bearish. Also, the metal looks bullish as per the technical charts, but the breakout remains elusive.

source: fxstreet