Even as the dollar firmed up in trade due to escalating trade war tensions between the US and China where both the parties have decide to impose fresh tariffs on each other's goods, gold has gained in price for the first time in 4 weeks even after showing some ease in Friday's session.
Spot gold retreated lower down by 0.2% at $1,204.31 per ounce by 1205 GMT. US gold futures were also down by 0.2% at $1,209.20 per ounce.
It is worth highlighting that dollar stands to gains amid trade war fear as it enjoys the status of the chief reserve currency. Further, it is being presumed that US will not lose out much in the current turmoil over trade dispute.
Also, losses in gold were limited this week as it was seen that the tariff rates imposed by the two nations were on the lower end as against expectations.
The dollar strengthened against a basket of other major currencies, rendering the yellow-metal expensive for other currency holders. Meanwhile while other Asian markets gained in today's session due to ebbing trade war concerns, Indian markets saw the most volatile session in four years time after losing huge 1500 points from day's high to later close lower by some 280 points.
In the domestic market, gold in 22K was down by Rs. 40 to quote at Rs. 30,240 per 10 gm and 24 K gold was priced at Rs. 32,690, down by Rs. 30.