Gold prices ended the week with a notable rise, benefiting from weak US labor market data and escalating political and geopolitical uncertainty, which boosted demand for safe havens at the end of trading on Friday, January 9.
The price of gold in spot trading rose by 0.5% to $4,496.09 an ounce , recording weekly gains of about 3.9% , after having reached a record high of $4,549.71 in late December.
US gold futures for February delivery also rose by 0.9% to settle at $4,500.90 an ounce .
The main support for gold came from US jobs data, which showed only 50,000 jobs added in December , less than the expected 60,000, despite the unemployment rate falling to 4.4% , which increased anticipation about the Federal Reserve's direction.
In contrast, the US dollar saw a slight rise at the start of Asian trading, as investors monitored political and legal developments related to the tariffs issue, keeping the markets in a state of caution.
Bart Melek, global head of commodity strategies at TD Securities, said that weak job creation, coupled with geopolitical tensions and higher oil prices, could lead to additional inflationary pressures , prompting the US Federal Reserve to adopt a more accommodative policy, a scenario supportive of precious metals.
Data from the FedWatch tool indicates that markets still expect interest rate cuts at least twice this year .
All are on track to record weekly gains, supported by improved risk appetite in the metals market.
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