Spot gold fell 0.2 percent to USD 1,082.90 an ounce by 0705 GMT, and on track to post a fourth straight weekly dip. The metal tumbled to USD 1,074.26 in the previous session, the lowest since February 2010.
The platinum group metals (PGMs) also tracked gold lower. Platinum tumbled to a near seven-year low of USD865.25 on Thursday, and was eying its worst weekly drop in four years.
Palladium fell to a 2-1/2-month low of USD 530.75, and with a 12 percent drop, was headed for its worst week since September 2011.
"While we find physical demand for the PGMs from industrial sources to be broadly steady, investors are retreating and we see no early signs of further production restraint," HSBC analyst James Steel said.
"Either a sector-wide rally in commodity prices or tangible evidence of production cuts are required to engineer a rally in the PGMs," he said, adding that gold could also see more losses.
Holdings of platinum exchange traded funds (ETFs) are at a two-year low, while assets of palladium funds are at their lowest since April 2014.
Assets of SPDR Gold Trust, the top gold ETF, fell to 661.94 tonnes yesterday, the lowest since September 2008. Holdings of all gold funds are at their lowest since March 2010.
Sustained outflows could add to the pressure on the metal prices, already hit by the strength in the dollar.

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