Gold prices held steady on Friday, after hitting a six-month trough in the previous session, as the U.S. dollar pulled back from a 11-month peak on profit-booking.
Spot gold was little changed at $1,267.38 U.S. an ounce early Friday. In the prior session, the bullion touched $1,260.84, its lowest since Dec. 19, 2017.
However, the yellow metal was headed for a 0.9% decline for the week.
A weaker greenback makes dollar-denominated gold cheaper for holders of other currencies.
U.S. gold futures for August delivery were 0.1 percent lower at $1,269.10 U.S. per ounce.
The dollar fell from an 11-month peak against a basket of major currencies as investors took profits, while sterling rebounded from a seven-month low after a slightly hawkish tilt from the Bank of England surprised the market.
The trade war is affecting gold for the time being. Unless the dollar weakens, traders should not expect gold to move too high.
Asian shares were under pressure on Friday on signs that U.S. trade battles with China and many other countries are starting to chip away at corporate profits, with oil prices choppy ahead of major producers' meeting to discuss raising the output.
In other precious metals, silver was up 0.1% at $16.32 U.S. an ounce. It fell to its lowest since May 2 at $16.16 in the previous session, and was on course for a 1.4% decline this week.
Palladium recovered from early losses to rise 0.3% to $953.50 U.S. per ounce. Early in the day, it slipped to a seven-week low of $947.15 an ounce.
Platinum slipped 0.6% to $856.15 U.S. per ounce.
Palladium and platinum were poised to mark a decline of over 3% this week.
