Mubasher: Gold prices are expected to rise by around $200 by the end of 2017, according to a report by the corporate and investment banking division of Bank of America.

Prices are likely to reach 1,400 per ounce by year-end, backed by inflation and a range of uncertainties, including European elections and protectionism.

"The market seems to be ignoring the large and growing risks of US or UK policy mistakes and the upcoming electoral cycle in Europe," the report said.

Gold prices fell 0.36% to $1,196.94 per ounce by 11:00am GMT. In addition, gold futures declined 0.55% to $1,196.6 per pounce