Gold closed flat as safe-haven demand offset the rise in U.S. Treasury yields.
Spot gold remained steady at $2,745.64 per ounce on Friday, despite prices having dropped 1.5% on Thursday as some traders took profits after the precious metal hit an all-time high of $2,790.15.
Gold ended the day with little change, as gains from a weaker dollar—following weak U.S. employment growth data—and increased safe-haven demand balanced the upward pressure from rising U.S. Treasury yields.
U.S. gold futures edged up 0.2% to $2,755.60 per ounce.
Non-farm payrolls increased by only 12,000 jobs last month, marking the smallest gain since December 2020, as hurricanes and strikes in the aerospace manufacturing sector took a toll. Following the report, the dollar softened and declined.
Benchmark U.S. 10-year Treasury yields recovered from an earlier dip, reducing gold’s appeal.
“There’s significant risk in the market, and the disappointing jobs report should prompt a rate cut from the Federal Reserve,” some analysts noted.
Economists see a 98% chance of a 25-basis-point rate cut by the Fed next week.
Gold prices, up 33% year-to-date and on track for their strongest annual gain since 1979, continue to weigh on physical demand in key Asian regions.
Among other precious metals, spot silver rose 0.1% to $32.69 per ounce, platinum gained 1.2% to $999.80, and palladium added 0.6% to $1,112.25.
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