Gold steady as investors weigh progress in US-Iran talks

Gold prices held broadly steady on Friday, with investors digesting the previous day's U.S.-Iran nuclear talks, while the dollar, hovering near three-week highs, pressured the yellow metal.

FUNDAMENTALS

Spot gold <XAU=> was steady at $5,187.39 per ounce by 0146 GMT. Bullion hit a more than three-week high on Tuesday.

U.S. gold futures <GCcv1> for April delivery were up 0.2% at $5,204.10.

The dollar held steady to hover near three-week highs, making dollar-denominated gold more expensive for holders of other currencies. [USD/]

The number of Americans filing new applications for jobless benefits increased slightly last week, and the unemployment rate appeared to hold steady in February amid a stable labor market.

Meanwhile, Federal Reserve chair nominee Kevin Warsh's path to out-of-the-gate interest rate cuts in alignment with President Donald Trump's expectations could be narrowing amid emerging bullishness about the U.S. economy, growing CEO confidence in the outlook, and investors keying off a hawkish shift among the central bank's policymakers.

Markets currently expect three 25-basis-point rate cuts from the Federal Reserve this year, according to CME's FedWatch Tool. FEDWATCH

Gold looks neutral in a range of $5,158 to $5,201 per ounce, and an escape could suggest a direction, Reuters technical analyst Wang Tao said, adding that the bias might be toward the upside, it is supposed to travel to $5,243 or a much higher level. [TECH/C]

In Geneva, the U.S. and Iran made progress in talks over Tehran's nuclear program on Thursday, mediator Oman said, but hours of negotiation ended with no sign of a breakthrough that could avert potential U.S. strikes amid a massive military buildup.

Spot silver <XAG=> rose 0.6% to $88.81 per ounce, after climbing to a three-week high on Wednesday.

Spot platinum <XPT=> added 0.6% to $2,286.53 per ounce, while palladium <XPD=> gained 0.5% to $1,794.13.

-Ishaan Arora/Reuters