On Friday gold prices were higher in European trade, as the greenback weakened broadly after the release of soft U.S. data on Thursday and amid speculation U.S. policy makers will hold off raising borrowing costs.
Investors now eye a fresh U.S. economic report later in the day.
Gold for immediate delivery rose 0.6 percent to $1,212.02 an ounce by 10:33 a.m. in London.
Silver for immediate delivery climbed 0.7 percent to $17.282 an ounce, trimming the first weekly drop in four. Platinum added 0.3 percent to $1,158.33 an ounce, while palladium lost 0.3 percent to $777.96 an ounce.
The yellow metal recovered from its biggest weekly loss since April as mixed U.S. data prompted investors to push back expectations for when the Federal Reserve will begin raising interest rates. Higher borrowing costs trim the allure of gold, which generally only provides returns through price gains.
The dollar weakened after a slew of downbeat U.S. economic reports on Thursday spurred fresh uncertainty over the strength of the recovery.
The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending May 16 rose more than expected by 10,000 to 274,000 from the previous week's total of 264,000.
The National Association of Realtors said that existing home sales fell unexpectedly by 3.3% in April to 5.04 million units from the previous month's revised total of 5.21 million units.
Moreover, the Federal Reserve Bank of Philadelphia said that its manufacturing index declined to 6.7 this month from a reading of 7.5 in April, confounding expectations for a rise to 8.0.
Later in the global day, investors expect Fed Chair Janet Yellen to speak on the economy.
