Gold rises above $1,200, but robust dollar curbs gains

Gold edged above $1,200 an ounce on Thursday as equities weakened, but the safe-haven metal retained most of its losses from a three-day decline on robust U.S. economic data and strength in the dollar.

The metal fell on Wednesday after data showed U.S. private employers added 212,000 private-sector jobs in February. Separately, the Institute for Supply Management said its services index was 56.9 in February, up slightly from 56.7 in January.

A robust economy decreases the appeal of bullion, often seen as an alternative investment during times of economic and geopolitical uncertainty. A stronger dollar makes gold more expensive for holders of other currencies.

Investors are now waiting for U.S. nonfarm payrolls data on Friday for more clues about the economy.

The data is also being eyed to see how it could impact the timing of the Federal Reserve's move to hike interest rates. Higher rates could dent demand for non-interest-bearing assets such as gold.

On Thursday, traders will be watching the European Central Bank's policy meet. The ECB, which starts its quantitative easing, or bond-buying, program of more than 1 trillion euros this month, is expected to detail the plan after the meeting.