<p>Gold prices were set for a second weekly gain as talks between Russia and Ukraine made little apparent progress, although bullion saw a dip on Friday as elevated US Treasury yields on the back of inflation data assuaged its safe-haven appeal.</p>.<p>Spot gold was down 0.2 per cent at $1,992.94 per ounce, as of 0203 GMT. US gold futures were flat at $2,000.10. Bullion gained about 1.2 per cent so far this week. There was no breakthrough in the first high-level talks between foreign ministers from Russia and Ukraine, who met in Turkey on Thursday since Moscow invaded its neighbour.</p>.<p>Benchmark US 10-year Treasury yields rose on Thursday and topped 2 per cent for the first time in two weeks after US inflation data confirmed rapidly rising prices, locking in expectations that the Federal Reserve will raise interest rates next week.</p>.<p>Gold is highly sensitive to rising US interest rates, which increase the opportunity cost of holding non-yielding bullion. Investors took stock of the US inflation data, which was in line with expectations but also showed the biggest year-on-year increase since January 1982.</p>.<p>The European Central Bank took a hawkish turn on Thursday saying it would end its asset purchases this summer, paving the way for a rate hike later in the year. The US Federal Reserve is scheduled to announce its next policy statement on March 16.</p>.<p>Palladium, used by automakers in catalytic converters to curb emissions, was down 0.5 per cent at $2,914.78 per ounce. The metal hit a record high of $3,440.76 on Monday, driven by fears of supply disruptions from top producer Russia. Among other metals, spot silver shed 0.7 per cent to $25.70 per ounce, while platinum fell 0.6 per cent to $1,062.01 and was set for its worst weekly decline since November 2021.</p>.<p><strong>Check out DH's latest videos</strong></p>
<p>Gold prices were set for a second weekly gain as talks between Russia and Ukraine made little apparent progress, although bullion saw a dip on Friday as elevated US Treasury yields on the back of inflation data assuaged its safe-haven appeal.</p>.<p>Spot gold was down 0.2 per cent at $1,992.94 per ounce, as of 0203 GMT. US gold futures were flat at $2,000.10. Bullion gained about 1.2 per cent so far this week. There was no breakthrough in the first high-level talks between foreign ministers from Russia and Ukraine, who met in Turkey on Thursday since Moscow invaded its neighbour.</p>.<p>Benchmark US 10-year Treasury yields rose on Thursday and topped 2 per cent for the first time in two weeks after US inflation data confirmed rapidly rising prices, locking in expectations that the Federal Reserve will raise interest rates next week.</p>.<p>Gold is highly sensitive to rising US interest rates, which increase the opportunity cost of holding non-yielding bullion. Investors took stock of the US inflation data, which was in line with expectations but also showed the biggest year-on-year increase since January 1982.</p>.<p>The European Central Bank took a hawkish turn on Thursday saying it would end its asset purchases this summer, paving the way for a rate hike later in the year. The US Federal Reserve is scheduled to announce its next policy statement on March 16.</p>.<p>Palladium, used by automakers in catalytic converters to curb emissions, was down 0.5 per cent at $2,914.78 per ounce. The metal hit a record high of $3,440.76 on Monday, driven by fears of supply disruptions from top producer Russia. Among other metals, spot silver shed 0.7 per cent to $25.70 per ounce, while platinum fell 0.6 per cent to $1,062.01 and was set for its worst weekly decline since November 2021.</p>.<p><strong>Check out DH's latest videos</strong></p>