Gold prices rose on Friday, within recovery from a 5-week low, after posting yesterday the largest daily loss in 6 weeks, but remain on track for the second straight weekly loss, after strong US economic data boosted the chances of tightening the US monetary policy.
Gold prices rose more than 0.7% to $1,766.86 an ounce, after opening at $1,754.02, and hit a high at $1,752.52.
Gold closed lower by 2.25% yesterday, and hit its 5-week low of $1,745.34 an ounce, after strong US retail sales data.
Gold prices have lost 1.2% so far this week, to head for the second straight weekly loss, as demand shifted for the US dollar as the best investment.
In the US, retail sales rose 0.7% in August, beating estimates of a 0.7% decline, while industrial activities improved in Philadelphian during September.
A survey by the US Federal Reserve also showed that Philadelphia's industrial production increased in September thanks to easing lockdown restrictions.
The data bolstered the case for a reduction in US bonds purchases before the year's end in a step that aims at raising US interest rates.
Gold stocks at the SPDR ETF rose 1.46 metric tonnes yesterday, with the total at 999.92 metric tonnes.