Gold prices remained stable on Friday. Some weak U.S. economic data has fueled expectations that the Federal Reserve could slow the aggressive pace of interest rate hikes starting in December, causing gold prices to move towards a second earnings week.

American gold futures remained unchanged at $1,666.00 while spot gold was stable at $1,663.22 per ounce at 01:30 GMT. However, it has increased by 0.4% for the week so far. Although 10-year Treasury benchmark returns remained below the 4% threshold, the Dollar Index remained stable after rising 0.7% overnight. In the third quarter, the American economy rebounded strongly thanks to the reduction of the trade deficit. But since domestic demand is the weakest in two years, the data exaggerated the country's economic health. Although the central bank is seen as slowing down its aggressive pace in December, the Fed is expected to announce a further 75 basis point rate hike at its meeting next week.

While boosting the dollar, in which they are valued, the U.S. rate hikes are increasing the opportunity cost of holding zero-yielding bullion. The European Central Bank said that “substantial” progress had already been made in its attempt to combat a historic surge in inflation. It raised interest rates, interest rates by 75 basis points on Thursday and put reducing its inflated balance sheet on the agenda. Last Thursday, the largest exchange-traded fund backed by gold, the assets of the SPDR Gold Trust fell by 0.34% to 925.20 tons.

Platinum rose 0.2% to $962.03, cash fell 0.2% to $19.54 per ounce, and palladium gained 0.5% to $1,951.07.