Gold floated near unchanged Friday as traders eyed Europe's efforts to stem the Greek sovereign debt crisis.
The most actively traded contract, for August delivery, was recently down $1.20, or 0.1%, at $1,528.70 U.S. a troy ounce on the Comex division of the New York Mercantile Exchange.
June-delivery gold was down $1.60, or 0.1%, at $1,527.70 U.S. a troy ounce.
German Chancellor Angela Merkel and French President Nicolas Sarkozy said they would seek European Central Bank consent for a new bailout package for Greece that includes the "fully voluntary" participation of private investors holding Greek debt.
Gold prices eased on the announcement, which came after weeks of a stalemate between Europe's two biggest economies over the role bond investors should play in further aid. The uncertainty about Greece's future had fueled investor appetite for refuge assets like gold, which is considered a store of value and a hedge against financial and economic risk.
A weaker dollar gave gold prices a boost. The greenback eased versus the euro following the Merkel-Sarkozy announcement.
The euro was recently at $1.4280 U.S., up from $1.4209 U.S. late Thursday in New York.
Dollar-denominated gold futures seem cheaper to holders of foreign currencies when the dollar eases, spurring demand among those investors.
Meanwhile, precious metals with industrial applications, which include silver, platinum and palladium, are under pressure "due to general commodity price weakness" rather than specific factors.
Silver is used in high end electronics, while platinum and palladium are widely used in car exhaust filters, known as catalytic converters.
Silver for July delivery, the most actively traded contract, was recently down 18.4 cents, or 0.5%, at $35.375 U.S. a troy ounce.
Nymex platinum for July delivery, the most actively traded contract, was down $11.00, or 0.6%, at $1,749.70 U.S. a troy ounce.
Palladium for September delivery, the most active contract, was down $8.70, or 1.1%, at $754.80 U.S. a troy ounce on the Nymex.
