Gold Prices Plummet Amid Strong Dollar and Rising Yields

Gold prices continued their downward trend on Friday, setting the stage for a second consecutive weekly decline. The precious metal faced pressure from a stronger US dollar and higher yields on US Treasury bonds, which made non-yielding assets like gold less appealing to investors.

The spot price of gold fell by 0.6% to $4,154.78 per ounce, while US gold futures declined by 0.4% to $4,184 per ounce. Gold's value has already dropped more than 3% this week, with investors eagerly awaiting key US employment data for clues about the Federal Reserve's interest rate policy.

Kyle Rodda, a senior financial market analyst at KCM Trade, noted that market participants are closely monitoring expectations for US interest rates and geopolitical developments in the Middle East. According to Rodda, a strong employment report could increase the likelihood of an interest rate hike, potentially putting further pressure on gold prices.