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Gold prices held steady early on Friday, poised for a second straight weekly gain after easing from a three-week peak that was reached in the session earlier.
Spot gold fell 0.04 percent to $1,243.80 an ounce after hitting a three-week peak of $1,247.48 per ounce in the session earlier. It had increased by nearly 1.3 percent for the week so far.
U.S. gold futures for August delivery dropped 0.15 percent to $1,243.60 an ounce.
The dollar was on track for weekly losses on Friday, wavering at its lowest levels against the euro in almost two years.
Holdings of the world's biggest gold-backed exchange-traded fund, SPDR Gold Shares, dropped to their lowest level since early February.
India's Paytm is planning to sell five tonnes of gold valued almost $200 million this year, according to the digital payments company.
