2019.03.2906:54:00UTC+00Gold Holds Steady In Cautious Trade

Gold prices held steady on Friday, but headed for their worst month since August 2018, hit by a stronger dollar and a rebound in equities.

Spot gold was up 0.1 percent at $1,291.42 per ounce, after falling nearly 1.5 percent the previous day, the most in over seven months. U.S. gold futures were marginally higher at $1,296.05 an ounce.

The U.S. dollar remains on track to post its strongest gain in five months despite weak GDP data released overnight. A rise in benchmark U.S. yields supported the currency.

Global equities also gained ground as investors responded positively to signs of progress in U.S.-China trade talks.

U.S. Treasury Secretary Steven Mnuchin said on social network Twitter that he and Trade Representative Robert Lighthizer concluded constructive trade talks in Beijing.

"I look forward to welcoming China's Vice Premier Liu He to continue these important discussions in Washington next week," he added.

White House economic adviser Larry Kudlow told reporters in Washington that the U.S. might consider dropping some tariffs if a trade deal is reached.