Gold Snaps 7-Day Winning Streak; Settles Below $1,200

(RTTNews) - Gold futures snapped a seven-day winning streak to end lower on Friday, as investors opted for the riskier equity assets after some mixed economic data from the U.S., and notwithstanding a fluctuating dollar.

Nonetheless, gold futures for the week gained about 1 percent.

The precious metal continued to make strong gains due to its safe haven appeal over the last two days, even as global equity markets dropped amid the chaos in Yemen. Gold rallied earlier in the week after comments from Federal Reserve officials indicated that U.S. interest rates will remain at zero at least until September.

Meanwhile, investors were focused on comments from the Fed Chief Janet Yellen, who is scheduled to address the Federal Reserve Bank of San Francisco Conference. She will deliver a note entitled "The New Normal for Monetary Policy," just before the close of markets.

Although no indication has been given, Yellen may discuss the Fed's long-term outlook for tightening in her address to the Federal Reserve Bank of San Francisco on Friday afternoon.

U.S. economic data was mixed today, with fourth quarter GDP unrevised and a better than expected consumer sentiment report.

Economic activity in the U.S. grew at an unrevised rate in the fourth quarter of 2014, according to the final estimate released by the Commerce Department. U.S. gross domestic product increased 2.2 percent in the fourth quarter, unchanged from the growth estimated last month.

Meanwhile, consumer sentiment in the U.S. deteriorated less than previously estimated in March, a report from the University of Michigan showed Friday.

Gold for April delivery, the most actively traded contract, dropped $5.00 or 0.4 percent to settle at $1,199.80 an ounce, on the Comex division of the New York Mercantile Exchange on Friday.

Gold for April delivery scaled an intraday high of $1,205.60 and a low of $1,191.70 an ounce.

Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, edged down to 737.24 tons on Friday, from its previous close of 743.21 tons on Thursday.

The dollar index, which tracks the U.S. unit against six major currencies, traded at 97.21 on Friday, down from its previous close of 97.41 on Thursday in late North American trade. The dollar scaled a high of 97.92 intraday and a low of 96.99.

The euro trended higher against the dollar at $1.0913 on Friday, as compared to its previous close of $1.0886 in North American trade late Thursday. The euro scaled a high of $1.0946 intraday and a low of $1.0803.

On the economic front, U.S. data came in mixed with fourth quarter GDP unrevised and a better than expected consumer sentiment report.

Economic activity in the U.S. grew at an unrevised rate in the fourth quarter of 2014, a final estimate from the Commerce Department showed Friday. Gross domestic product increased by 2.2 percent in the fourth quarter, unchanged from the growth estimated last month. Economists expected the pace of GDP growth to be upwardly revised to 2.4 percent, which would still reflect a notable slowdown from the 5.0 percent growth seen in the third quarter.

Consumer sentiment in the U.S. deteriorated by less than previously estimated in March, a report from the University of Michigan showed Friday. The final reading on the consumer sentiment index for March came in at 93.0 compared to the mid-month reading of 91.2. Economists expected a reading of 92.1, but was still below the final February reading of 95.4.

Germany's import prices declined at a slower-than-expected pace in February, figures from Destatis showed Friday. The import price index fell 3.0 percent year-over-year in February, below economists' expectations for a 3.9 percent decrease.

At the same time, German export price index climbed at a faster pace of 0.7 percent annually in February, following a 0.4 percent rise in the prior month. It was the sixth successive monthly increase.

U.K. house price growth softened for the seventh consecutive month to an 18-month low in March, the Nationwide Building Society reported Friday. House prices advanced 5.1 percent year-on-year in March, slower than February's 5.7 percent increase and a 5.3 percent rise forecast by economists. This was the slowest rate of growth since September 2013.

However, U.K. house prices rose 0.1 percent on a monthly basis offsetting a 0.1 percent drop seen in February. Economists had forecast a steeper 0.2 percent rise for March.

French consumer confidence improved as expected to the highest level since 2010, survey data from the statistical office Insee showed Friday. The households' consumer confidence index came in at 93 in March versus 92 in February. This was the highest score since November 2010 and came in line with expectations.