Gold steady on weaker dollar, set for third week of gains

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Gold prices held firm on Friday as the dollar hovered near one-week lows, keeping the metal on track for a third week of gains amid political uncertainties in the United States and Europe.

Spot gold was steady at $1,238.16 per ounce at 0321 GMT, while U.S. gold futures were down 0.2 % at $1,239. Spot gold may drop to $1,230 per ounce as its correction from the Feb. 8 high of $1,244.67 may extend, according to Reuters technical analyst Wang Tao.

 

 Gold is up 0.3 % so far this week and has risen about 7.5 percent in 2017."Gold edged higher overnight on the back of a weaker dollar and lower U.S. Treasury yields. Add in a drop in the equity market and you have the holy trinity for higher gold prices," said Stephen Innes, senior trader at OANDA.

 

SPDR Gold, the world's largest gold-backed exchange-traded fund, have risen 5.6 percent so far this month, the most since June 2016. 

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