Bengaluru Gold dulls

Reuters

Gold steadied off an eight-week low on Friday, but remained on track for a fourth straight weekly drop as growing speculation that the Federal Reserve will press ahead with interest rate hikes hurt investor demand.

The metal fell for seven straight sessions to Thursday, its longest run of losses in more than six months, after minutes of the Fed's latest policy meeting indicated last week that a rate hike may be on the cards sooner rather than later.

That view has been consistently supported by central bank officials this week.

An increase in U.S. rates would raise the opportunity cost of holding gold, while boosting the dollar, in which it is priced.

Spot gold was at $1,219.64 an ounce at 0930 GMT, little changed from late on Thursday but off an earlier low of $1,211.30. U.S. gold futures for June delivery were down 60 cents an ounce at $1,219.90.