Gold ended 2014 below $1,200 an ounce as investors worried about tensions in Russia and political uncertainty in Greece.
U.S. gold futures for February delivery settled at $1,184.10 an ounce, down 1.5 percent for the year.
Spot gold was last down 1.6 percent at $1,180 an ounce. On Tuesday, the metal climbed to $1,209.90, its highest in nearly two weeks, as concerns over tension between Russia and the West weakened the dollar and stock markets.
Prices were relatively less volatile in 2014 compared to last year's 28 percent slide and $500 trading range. Despite falling to a 4-1/2 year low in November, gold has traded in a $260 range for the year.
Gold's main driver in 2014 has been a buoyant dollar, which was poised to post its biggest yearly gain since 2005, and anticipated U.S. interest rate hikes may strengthen its appeal in the coming year. Higher rates weigh on non-interest-bearing bullion.