ALSO READGold slips from over five-week high as trade tensions ease Gold steady after falling the most in about two weeks as trade tensions ease Gold retreats ahead of U.S. payrolls data Gold steadies near $1,325/oz before U.S. payrolls data Gold up on safe-haven buying after U.S. proposes new China tariffs
By Swati Verma
BENGALURU (Reuters) - Gold rose on Friday and was set to post a small gain for a second week running, supported by tensions over Syria.
Spot gold rose 0.4 percent to $1,339.71 an ounce as of 0324 GMT, and was set for a weekly gain of 0.5 percent. U.S. gold futures were up 0.1 percent at $1,342.70 an ounce.
Prices are gaining on tensions over Syria, that has stoked geopolitical concerns, said Richard Xu, a fund manager at HuaAn Gold, China's biggest gold exchange-traded fund.
President Donald Trump and his national security aides on Thursday discussed U.S. options on Syria, where he has threatened missile strikes in response to a suspected poison gas attack, as a Russian envoy voiced fears of wider conflict between Washington and Moscow.
Global stocks recovered and the dollar firmed after Trump's comments, which weighed on the dollar-denominated bullion.
Gold prices dropped 1.3 percent on Thursday, the biggest one-day percentage fall since March 28. Prices have fallen over$25 an ounce since climbing to an 11-week high of $1,365.23 an ounce on Wednesday.
"Going forward I see downside risk for gold prices in general, the ebbing trade war concerns as well as improvement in growth-related news should bring safe-haven demand lower into the year ahead," said OCBC analyst Barnabas Gan.
Meanwhile, holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose 0.69 percent to 865.89 tonnes on Thursday.
In other precious metals, platinum was 0.2 percent higher at $926.74 an ounce.
Palladium was up 0.5 percent at $968.50 an ounce and on track for an over 7 percent rise this week.
Spot silver rose 0.4 percent to $16.49 per ounce.
Global silver physical demand dropped to its lowest level in five years during 2017, led largely by a steep decline in coin and bar demand, even as industrial demand increased, according to Thomson Reuters GFMS.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)