Gold prices were mostly unchanged on Friday as investors remained cautious ahead of key U.S. employment data due later in the session. Despite the subdued daily movement, bullion stayed on track for solid weekly gains, supported by ongoing tensions between the United States and Venezuela.
By 08:15 ET (13:15 GMT), spot gold edged down 0.2% to $4,470.17 per ounce, while U.S. gold futures rose 0.4% to $4,480.00.
Gold was heading for a weekly advance of more than 3%, after rallying sharply earlier in the week following a U.S. military operation in Venezuela that resulted in the capture of President Nicolas Maduro.
U.S. jobs data in focus as dollar strengthens
The precious metal faced pressure from a firmer U.S. dollar, with the U.S. Dollar Index touching a one-month high. A stronger dollar typically weighs on gold prices by making the metal more expensive for buyers using other currencies.
Market participants were awaiting the U.S. nonfarm payrolls report for further insight into labour market conditions and the future policy direction of the Federal Reserve. The outcome could shape expectations around the timing and pace of future interest rate cuts, keeping traders cautious ahead of the release.
Traders are increasingly pricing in two additional U.S. interest rate cuts in 2026, following the Federal Reserve’s rate reduction in December. Lower borrowing costs tend to support gold, as the metal offers no yield and becomes more attractive when interest rates fall.
Geopolitical risks continue to underpin gold
Safe-haven demand has remained elevated due to lingering tensions between Washington and Caracas. These concerns helped push gold sharply higher earlier in the week, before prices consolidated in recent sessions.
Political developments in the U.S. also remained under scrutiny. The Senate voted to advance legislation aimed at limiting further military involvement in Venezuela.
President Donald Trump said U.S. oversight of the situation in Venezuela could extend for years, reinforcing the risk of a prolonged geopolitical standoff that may continue to support bullion demand.
Other metals advance, palladium outperforms
Other precious and industrial metals also traded higher on Friday. Silver jumped 3.6% to $77.805 per ounce, while platinum gained 1% to $2,289.30.
Palladium recorded the strongest move, surging 5% to $1,872.50 per ounce.
Copper prices also advanced, with benchmark futures on the London Metal Exchange rising 2.2% to $12,971.20 per metric ton. U.S. copper futures climbed 1.9% to $5.9068 per pound.
