Gold: Risk reversals show weakest bullish bias in over a month

One-month risk reversals (XAU1MRR) on gold,  a gauge of demand for options on the yellow metal rising or falling, retreated to 0.20 on Friday to hit the lowest level since June 9. The metric topped out at 1.025 on June 22, according to data source Reuters. 

The positive number indicates the demand for call options or bullish bets is higher than that for puts or bearish bets. However, the gauge has declined from 1.025 to 0.22 as noted earlier, a sign of weakening of demand for calls or easing of a bullish bias. 

Gold is currently sidelined near $1,808 per ounce. The yellow metal is up 19% on a year-to-date basis. The rally, however, has stalled above $1,800 over the past one and a half weeks. 

XAU1MRR