Gold edged up on Tuesday in response to firmer oil prices, but a rebound in the dollar limited upside momentum for the metal, which appeared poised for a third year of losses amid the prospect of rising U.S. interest rates.
Gold is likely to end 2015 down nearly 10 percent, mostly due to expectations that higher U.S. rates will hit demand for the non-interest-paying metal.
Spot gold rose 0.04 percent to $1,069 an ounce, after losing 0.6 percent in the previous session. Volumes were thin in the last trading week of the year.
U.S. gold futures for February delivery settled at $1,068.0 an ounce, little changed from the previous day's close of $1,068.3.