The precious metal has been dented by the prospect of US fiscal stimulus boosting the economy and inflation, prompting an earlier than expected interest rate rise.
It was worth around $1,710/oz at the time of writing.
Wall Street closed lower but the FTSE 100 was up almost 1% as it continued its recovery.
Down Under, Australia's 3.1% rise in fourth quarter GDP cemented a strong recovery, ANZ Research noted.
Market futures were mixed.
Gold major Newmont closed down 2.59% in New York.
Metals and mining equities were collectively up 1% in Toronto, where markets had closed lower.
Diversified miner Teck Resources (TSX: TECK.B) rose 1.74%.
Finally in London, Glencore managed a 0.52% gain.