Earlier on Friday, gold prices traded lower earlier in Asia amid emerging signs that the U.S. economy was on track for a recovery. A rebounding U.S. Dollar also put the pressure on the yellow metal, though losses in gold were limited over the suspension of talks for a stimulus deal in U.S. Congress.
Gold futures fell by 0.71%, trading at $1,956.40 per ounce at 11:11 PM ET (04:11 AM GMT).
Signs of an economic recovery in the U.S. also put a dent in the demand for the safe-haven metal.
On Thursday, the U.S. saw 963,000 people applying for initial jobs claims for last week, a much lower number than the 1.1 million forecasted by Investing.com.
However, the hold up in negotiations for a stimulus deal in the U.S. kept the yellow metal above the $1,900 mark. The Senate announced they would not return for August unless negotiators reach a decision.
An impasse over the next round of negotiations also looks likely, as Democrats and Republicans have yet to reach a conclusion. Many believe that the lack of progress could help gold prices back above the $2,000 mark.