Gold Steady Above $1220 on Softer Dollar

Gold closed modestly lower on Friday, marking its biggest weekly decline in four weeks, as the dollar rebounded after a stronger-than-expected rise in U.S. core consumer prices in April.

U.S. gold futures closed down 10 cents at $1,204.00 an ounce, down 1.7 percent on the week—its biggest fall since the week ended April 24. Spot gold, higher initially, was unchanged at $1,206 an ounce.  Volumes were were thin on Friday ahead of public holidays in Britain and the United States on Monday.

“Gold remains very much dependent on the U.S. economic data and traders are just trying to find out when the U.S. rate hike will be,” Natixis analyst Bernard Dahdah said.