Gold prices eased on Thursday as traders sought direction from ongoing talks on the U.S. debt ceiling.
Spot gold slipped 0.2 percent to $1,977.56 per ounce, while U.S. gold futures were down 0.3 percent at $1,979.55.
The dollar index held firm after hitting a seven-week high in the previous session on hopes that the U.S. debt default will be avoided.
Worries over a debt default eased after a statement from the White House said President Biden is "optimistic that there is a path to a responsible, bipartisan budget agreement."
Concerns about the health of U.S. regional banks also ebbed after Western Alliance Bancorp came out with a filing showing deposit increase.
In economic releases, U.S. weekly jobless claims and existing home sales for April are due to be released in the New York session.
At 9:05 am ET, Federal Reserve Board Governor Philip Jefferson will deliver a speech on the economic outlook before the National Association of Insurance Commissioners (NAIC) International Insurance Forum, in Washington.
Twenty-Five minutes later, Federal Reserve Vice Chair for Supervision Michael Barr will testify before the Senate Banking, Housing and Urban Affairs Committee Semi-annual Hearing on Supervision and Regulation, in Washington.
At 10:00 am ET, Federal Reserve Bank of Dallas President Lorrie Logan will deliver welcome remarks before the Technology-Enabled Disruption Conference.
