• Gold price is seen consolidating in a narrow trading band above the $2,000 mark on Friday.
• Rising US bond yields underpin the USD and cap the yellow metal amid a positive risk tone.
• Reviving bets for an early Fed rate cut and geopolitical risks lend support to the commodity.

Gold price (XAU/USD) struggles to build on the previous day's positive move and oscillates in a narrow range above the $2,000 psychological mark during the Asian session on Friday. A modest uptick in the US Treasury bond yields helps revive the US Dollar (USD) demand, which, along with a generally positive tone around the equity markets, turn out to be key factors capping the upside for the safe-haven precious metal. That said, expectations that the Federal Reserve (Fed) will start cutting interest rates soon, bolstered by the weaker-than-anticipated US Retail Sales report released on Thursday, act as a tailwind for the non-yielding yellow metal.

Apart from this, the risk of a further escalation of geopolitical tensions in the Middle East might continue to lend some support to the Gold price. Even from a technical perspective, this week's failure to find bearish acceptance below the 100-day Simple Moving Average (SMA) warrants some caution before positioning for any meaningful downside for the XAU/USD. Market participants now look forward to the US economic docket – featuring the Producer Price Index (PPI), Housing Starts and Michigan Consumer Sentiment Index. This, along with speeches by influential FOMC members, will drive the USD and provide some impetus to the commodity.