Gold fell on Friday as hints of more monetary stimulus from the European Central Bank weighed on the euro and pushed stocks higher, denting appetite for alternative assets.
Benchmark Brent crude futures, which had fueled risk aversion with a tumble to 12-year lows, closed out a volatile week by soaring 9 percent on Friday as traders cashed in on record short positions.
That fed into better appetite for assets seen as higher risk, such as stocks, and weighed on gold.
Spot gold was down 0.4 percent at $1,096.36 an ounce, while U.S. gold futures for February delivery closed down $1.90, or 0.2 percent, at $1,096.30. The metal rose to a two-month high of $1,112 last week as equities and oil slid.