Gold futures ended higher for a second straight session on Friday, after some disappointing economic data from the U.S. with first quarter gross domestic product revised downward, and some soft Chicago PMI and U.S. consumer sentiment reports. For the month, gold futures gained about 0.7 percent. The dollar trended lower after fluctuating for much of the day, after the soft economic data out of the U.S. and the ongoing financial uncertainties in Greece. Markets in the U.S. were under pressure following the release of some weak economic reports. The U.S. GDP report was revised to show a contraction in the first quarter, while the Chicago PMI and U.S. consumer sentiment reports also disappointed.
Federal Reserve officials have already said they expect first quarter weakness to prove transitory, meaning they might still raise interest rates this summer. Greece's financial problems continued unabated after its international creditors late Thursday said an agreement over aid to the beleaguered country did not seem to be in the offing anytime soon. This is contrary to earlier reports during the week when the Greek prime minister appeared confident of a deal. Gold for August delivery, the most actively traded contract, gained $1.00 or 0.1 percent to settle at $1,189.80 an ounce. Holdings of SPDR ARCA:GLD Trust, the world's largest gold-backed exchange-traded fund, remained unchanged at 715.86 tons on Friday, from its previous close of 715.26 tons.
