New York precious metals settled higher on Friday on bargain hunting after being pummelled to oversold terrain in this week's sell-off, but robust US durable goods data that boosted the dollar capped gains.
Gold was lifted from a prior 7-week low and silver rose from a 2-1/2-month nadir after chart supports held previously, while platinum group metals also recovered some lost ground.
"We held nicely yesterday. The market's been a little oversold and fund buying in London helped bring us up," a metals bullion trader in New York said.
Comex June gold futures rose $1.80 to end at $395.70 an ounce, within a range of $393.20 to $397.10.
Cheaper metal prices prompted physical buying overnight in Asia and light renewed fund interest as well after futures held above support at $390 an ounce on Thursday.
But the dollar's advance on Friday after the US March durable goods report showed a strong increase of 3.4 percent, above expectations for a 0.8 percent rise, slowed buying in hard assets like precious metals.
The goods data reinforced the view that the US economic recovery is on solid footing, lifting the greenback. A firmer dollar usually dents overseas demand for gold.
"The durable goods data brought gold down a little, but the market thought it was a buy-on-the-dips type of scenario, so it held," said a trader.
Comex gold this month hit a 15-year high at $433 an ounce. It put in a low on Thursday at $390.20.
Spot gold was last quoted at $394.85/5.35 an ounce, versus its previous New York close at $392.80/3.55. In London, on Friday's afternoon fix was at $394.50.
May silver rose 13.5 cents, or 2.2 percent to $6.163 an ounce, in trade between $6.05-$6.205. Prices strengthened after support at around $6 an ounce held on Thursday. Spot rose to $6.15/18 from $6.01/6.04 at the last close. On Friday's fix was at $6.19.
Bottom picking boosted Nymex platinum and palladium prices after a three days of ruthless selling, traders said.
July platinum gained $6.20 to $842.50 an ounce. Spot platinum was quoted at $846/851.
June palladium rose $7.05 to $280.85 an ounce. Spot edged to $276/281. Comex is a division of the New York Mercantile Exchange.
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