Gold Near $1200 as U.S. Rate Bets Buoy Dollar

Gold futures ended higher on Friday as chart levels were broken, but it was pressured by a stronger dollar and renewed expectations for a U.S. rate hike this year.

U.S. gold for June delivery settled up 0.9 percent at $1,204.60 an ounce. Spot gold was last up 1.15 percent to $1,208 an ounce. Flat initially, it gained momentum after a break of technical resistance at $1,196 that triggered automatic buy orders.

“This move is coming during a week when we didn’t really have any gold-positive news but …the way gold is putting up a fight at the moment is potentially giving some confidence to the market,” Saxo Bank senior manager Ole Hansen said.