A stronger dollar pushed gold down to $1,217.60 (-1.06%), but bullion stayed above the key $1,200 an ounce level as concerns over the global economy and stock markets persisted. Gold remains one of the biggest gainers of 2016 so far. It has gained about 15% since the start of the year.

Flows data suggest investors believe in gold. Holdings of SPDR Gold Trust, the largest gold-backed exchange-traded-fund, rose by 2.71% to 732.96 tonnes on Friday, marking the biggest single day increase since August 2011.