Platinum trading near 17-year high Gold prices edged lower on ​Friday, pressured by a stronger dollar and year-end investor positioning, but were poised to end the week higher ⁠as softer U.S. inflation data boosted bets of interest rate cuts.

Spot gold fell 0.1% to $4,326.29 an ⁠ounce as ‌of 0935 GMT, but was set to log a weekly gain of 0.6%, having climbed back to near record highs hit in October. U.S. gold futures fell ⁠0.2% to $4,354.80.

Spot silver added 0.7% to $65.90 an ounce, set to end the week 6% higher after scaling an all-time peak of $66.88 on Wednesday.

Silver has gained 128% year-to-date on stronger industrial demand, and has outperformed gold, which has logged a 65% annual rise so far this ⁠year.

The dollar rose to over ​one-week highs, making greenback-priced bullion more expensive for other currency holders.

"Gold is seeing some minor pressure today likely due to ‍some end-of-year positioning and general quietness ahead of the holidays," said Zain Vawda, analyst at MarketPulse by OANDA, adding that recent ​softer U.S. economic data has helped prospects of rate cuts next year.

U.S. consumer prices rose 2.7% year-on-year in November, below economists’ forecast of a 3.1% increase.

Federal Reserve Bank of Chicago President Austan Goolsbee said on Thursday that if the softer-than-expected inflation numbers can be sustained, it can open the door for more interest rate cuts next year.

Federal funds rate futures indicated a slightly increased chance of the Fed trimming rates at its January meeting, after the data.

Goldman Sachs sees gold prices climbing 14% to $4,900/oz by December 2026 in its base case, on structurally high central bank demand ⁠and cyclical support from Fed interest rate cuts, the brokerage ‌said in a note on Thursday.

Platinum rose 1.5% to $1,944.71 after touching a more than 17 year high on Thursday. Palladium fell 0.1% to $1,694.75 after hitting a nearly three-year high ‌earlier in the session.

Both ⁠were set for weekly gains, with palladium on track for its best week since September 2024.