Gold settled higher on Friday, posting its fourth straight weekly gain, as weak U.S. data on consumer spending hurt the dollar. U.S. consumer spending rose less than expected in May, prompting economists to downgrade estimates for second-quarter growth.
The dollar was poised to end the week with a whimper, dropping to a more than one-month low against the yen on Friday after downbeat U.S. spending data gave investors no reason to hope for higher U.S. rates anytime soon.
U.S gold futures for August delivery ended the trading session $3.00 higher at $1,320.00 an ounce, up 0.4 percent for the week. Spot gold, meanwhile, was up 0.1 percent at $1,318 an ounce, undermined by profit-taking and a lack of news. Still, the metal was not far from $1,325.90—its highest since mid April, hit earlier in the week.