Gold prices flat on dovish Fed view

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Gold prices flat on dovish Fed view

On Friday, gold prices were flat, but they were set for a small weekly gain, buoyed by the dollar's retreat on a perceived dovish tilt to the US Federal Reserve'sFederal Reserve's interest rate hike strategy.

Spot gold was little changed at $1,753. 47 per ounce by 0016 GMT. US gold futures rose 0.5% to $1,753. The readout of the Nov. 1 -- 2 meeting showed on Wednesday that a large majority of Fed policymakers agreed that it would be appropriate to slow the pace of interest rate hikes.

The dollar was on course for a weekly decline, making gold cheaper for overseas buyers.

The Fed has signalled that there is a slowdown in the pace of rate hikes and it takes pressure off global peers to raise rates and offer relief to emerging markets, which have suffered their biggest rout in over a decade this year.

Lower rates tend to lift the appeal of bullion in comparison to other interest-bearing assets.

The amount of gold in its vaults was identical to the amounts mentioned in its balance sheets, according to a bank statement from Lebanon's central bank after being audited by the International Monetary Fund at the request of the International Monetary Fund.

Vice-President Mahamudu Bawumia said on Thursday that Ghana's government is working on a new policy to buy oil products with gold rather than US dollar reserves in order to tackle dwindling foreign currency reserves.

Spot silver decreased by 0.3% to $21.45, platinum fell by 0.1% to $986.78, while palladium was little changed at $1,881. Market activity was relatively muted after the US Thanksgiving holiday.