Spot gold was down 0.6 percent at $1,209.00 an ounce by 0501 GMT.
While overnight gold futures were fairly muted, adding 0.1% to US$1227 an ounce, a rampaging USA dollar is putting pressure on metals prices. US gold futures dipped 0.7 pct to $1208.4 an ounce, after shedding almost 1 percent earlier in the day.
Gold steadied early Thursday as the USA dollar retreated from near 14-year highs touched against a basket of currencies the day before. "Gold will be on a downtrend for now", said Brian Lan, managing director at Singapore-based gold dealer GoldSilver Central.
Trump has vowed to boost domestic spending, which has the potential to stoke inflation and dent demand for non-yielding bullion, but the market is seeking more detail on his policies. "Gold has lost a bit of its safe-haven asset status".
The election of Donald Trump as US president has done nothing to change the Fed's plans for a rate increase "relatively soon", the Fed's Yellen said on Thursday in Congressional testimony.
Gold prices eased on Friday after touching their lowest in over five months the session before, dragged down by a stronger US dollar and after Federal Reserve Chair Janet Yellen bolstered the case for raising interest rates next month.
"Since the gold market has absorbed the likelihood of a December rate rise, we do not think Mr Bullard's rate comments were especially price-negative", said James Steel, chief metals analyst for HSBC Securities. Bullion has dropped almost 10 percent from a high of $1,337.40 per ounce, hit on November 9, when Donald Trump was announced US president-elect.
Gold prices stabilized in Tuesday's session following six consecutive daily losses and continued to consolidate in today's session. "We expect this to cushion - but not necessarily reverse - the latest drop in prices".
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell 0.61 percent to 920.63 tonnes on Thursday.
Platinum slipped 0.7 per cent at $US937.60 an ounce while silver dropped 1.9 per cent to $US16.64.
For now, with gold below key support at $1,250 an ounce, both Baruch and Beauchamp see the path of least resistance as lower for the yellow metal. Copper futures rose almost 11% last week, its largest weekly percentage gain since the week ended October 28, 2011.