Gold prices steadied on Friday, holding firm near a six-month high struck in the previous session, as the U.S. dollar remained under pressure due to a subdued outlook towards U.S. interest rates and the economy, and investors shunned risky assets.
Spot gold was little changed at $1,259.34 U.S. per ounce, after jumping more than 1% in the previous session. The precious metal hit a high of $1,266.40 on Thursday, a level not seen since June 26.
The bullion has gained about 1.7% so far this week. U.S. gold futures declined 0.3% to $1,263.70 per ounce on Friday.
The Fed’s commitment on Wednesday to retain the core of its plan to tighten monetary policy, despite rising uncertainty about global economic growth, rattled stock markets and pressured the dollar, making U.S. currency-denominated gold more appealing for non-U.S. investors.
Technical analysts project that spot gold may fall into a range of $1,245-$1,253 U.S. per ounce, following its failure to break a resistance at $1,266.
Among other precious metals, palladium rose 0.4% to $1,269.48 U.S. per ounce, but was up about 1.2% for the week in what would be its fourth consecutive weekly gain.
Silver fell 0.6% to $14.68 U.S. per ounce, but has gained about 0.7% so far in the week.
Platinum fell 0.4% to $790.49 U.S. per ounce, and was headed for a weekly gain for the first time in seven.
