Gold prices edged lower on Friday, but aimed for a third straight week of gains as cooler-than-expected U.S. inflation data boosted hopes of the Federal Reserve cutting interest rates in September.
Spot gold slipped 0.2% at $2,409.19 U.S. per ounce, after rising 2% on Thursday.
U.S. gold futures eased 0.3% at $2,414.10.
Data on Thursday showed U.S. consumer prices unexpectedly fell and the annual increase was the smallest in a year, drawing the Fed another step closer to cutting interest rates.
Bets of a September rate cut rose to 93% compared to a 70% chance before the data was released.
Investors now await the U.S. producer price index (PPI) reading due at 8:30 a.m. EDT.
Spot silver fell 0.8% to $31.18 U.S. per ounce, after scaling an over one-month high on Thursday.
Platinum edged 0.1% lower at $1,003.25 U.S. and palladium dropped 1.3% to $982.44 U.S.. Both metals were set to register weekly declines.
