Gold prices improved on Friday as euro-zone inflation -- which bested expectations -- boosted the continental currency against the U.S. dollar, while global stock markets retreated from Wednesday's record highs as concerns about global trade subdued appetite for cyclical assets.
The shiny yellow metal remains on track for its biggest weekly drop in seven, though, as appetite for nominally higher-risk assets sharpened early in the week at gold's expense.
Spot gold was up 0.2%, to $1,266.06 while U.S. gold futures for June delivery were up 0.1% to $1,267.50 U.S. Spot gold was down 1.4% from last Friday's level, its biggest weekly loss since early March.
Gold took some knocks this week after a strong showing in the first round of the French elections from Emmanuel Macron, the centrist candidate largely favoured by financial markets, reining in some fears that a candidate less friendly to the European Union could win through.
A three-day rally in stock markets stalled after a largely expected U.S. tax cut plan, however. U.S. President Donald Trump's announcement on Wednesday received a lukewarm reception as some details were largely anticipated by investors.
Elsewhere in metals, silver was down 0.2% at $17.18 U.S. an ounce, while platinum advanced 0.2% to $941.75 U.S.
Palladium was up 1.6% to $827.80 U.S., having earlier touched a two-year high of $824.50 an ounce. It was the only weekly gainer among the precious metals, set to finish the week with a 3.8% rise.
