Investing.com -- The price of gold increased for a third consecutive day on Friday amid mixed U.S. economic data and a slightly weaker dollar.
On the Comex division of the New York Mercantile Exchange, gold futures for April delivery edged up 0.1% to $1,211.70 a troy ounce. Gold reached a high of $1,219.20 on Friday morning in U.S. trading.
Futures were likely to find support at $1,177.80, the low from January 5, and resistance at $1,215.30, the high from February 20.
For the month of February, however, Gold fell more than 5% following record increases in January. Gold ended the first month of the year up 8%, at once point reaching $1,300 a month. Gold investors in January were rewarded with the highest increase in prices in three years.
Prices, though, have fallen back upon expectations of an impending interest-rate hike. Earlier in the week, dovish testimony Fed Reserve chair Janet Yellen indicated that the central bank could raise interest rates later this year if wages increase and inflation moves closer to its targeted goal of 2%.
Gold can lose its appeal as a safe haven in periods of rising interest rates.
The dollar weakened Friday after the release of mixed U.S. economic data. Gross domestic product for the final quarter of 2014 rose at a 2.2% rate, down from an initial estimate of 2.6%, the Commerce Department said. In the third quarter, the U.S. economy grew at rate of 5%.
The Institute for Supply Management-Chicago Business Barometer, also known as Chicago PMI, fell further than expected -- dropping to a five and a half year low of 45.8. The reading fell from 59.4 in January, following significant drops in production and order backlogs. In addition, frigid temperatures nationwide caused the University of Michigan's Consumer Sentiment index to drop for the month of February following an 11-year high the previous month.
At the same time, there was positive news in the housing sector as pending home sales in the United States increased to its highest level in a year and half. The National Association of Realtors Pending Home Sales Index increased 1.7% for January, marking the fifth consecutive month of year-over-year gains.
The U.S. dollar index, which measures the greenback's strength against a basket of six other major currencies, fell slightly by 0.06% or 0.06 points to 95.30.
Meanwhile, silver futures for May delivery fell 0.037 or 0.22% to $16.587 a troy ounce.
Elsewhere on Comex, copper for May delivery rose 0.008 or 0.29% to $2.687 a pound.