Gold slips as dollar ticks higher, US inflation report in focus
Gold prices fell on Friday amid a slight uptick in dollar, while investors awaited a key U.S. inflation report that may provide further insight into the Federal Reserve's policy trajectory.
Spot gold was down 0.5% at $3,300.59 an ounce, as of 0313 GMT. Bullion is down 1.7% so far this week.
U.S. gold futures fell 0.5% to $3,298.30.
The dollar index rose 0.2%, making gold more expensive for overseas buyers.
"Gold prices are more or less consolidating at this point of time... what we see is that these are normal market occurrences just at the range now is slightly wider mainly due to the confidence in the U.S. dollar," said Brian Lan, managing director at GoldSilver Central, Singapore.
Investors are awaiting the April U.S. personal consumption expenditures (PCE) price index report, the Fed's preferred inflation measure, which is due at 1230 GMT.
According to a Reuters poll, the U.S. PCE is expected to remain at 0.1% month-on-month, while the year-on-year figure is anticipated to be at 2.2%.
San Francisco Fed President Mary Daly said on Thursday that policymakers could still reduce interest rates twice this year, but rates should remain steady for now to ensure inflation is on track to reach the central bank's 2% goal.
Non-yielding bullion tends to benefit in low-interest-rate environments.
Meanwhile, a federal appeals court temporarily reinstated President Donald Trump's most extensive tariffs on Thursday, following a U.S. trade court's ruling on Wednesday that Trump had overstepped his authority by imposing these duties and subsequently ordered an immediate halt.
U.S. trade talks with China are "a bit stalled" and getting a deal over the finish line will likely need the direct involvement of Trump and Chinese President Xi Jinping, U.S. Treasury Secretary Scott Bessent said on Thursday.
Spot silver fell 0.8% to $33.07 an ounce, platinum was steady at $1,081.93 and palladium dropped 0.3% to $970.43.
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