Gold prices were moving lower on Friday as the dollar consolidated at a two-decade high.
Spot gold dropped 0.4 percent to $1,703.28 per ounce, while U.S. gold futures were down 0.3 percent at $1,700.25.
The euro was flat after bouncing back from below parity on Thursday for a second day. Asian stocks ended mixed while European stocks were seeing strong gains despite concerns about a slowdown in economic growth and Italy's political turmoil. Official data showed China's GDP grew 0.4 percent year-on-year in the second quarter, missing expectations for 1 percent growth. However, retail sales rose 3.1 percent in June to recover from a prior slump.
Christopher Waller and St. Louis Fed President James Bullard, two of the Federal Reserve's most hawkish policymakers, on Thursday signaled support for a second straight 75-basis-point rate hike at the U.S. central bank's policy meeting later this month, alleviating some fears of a 100-basis point hike.
Investors await the release of U.S. retail sales and University of Michigan's consumer sentiment index due later today for policy outlook.