Gold Prices Rise as US Dollar and Treasury Yields Pause Ahead of Employment Report

Gold prices rose in European trading on Friday, continuing their upward trend for a second consecutive day. The metal's price increased by 0.45% to $4,196.95, after reaching a low of $4,133.85.

The gain was supported by a pause in the rally of the US dollar and Treasury yields ahead of the release of the US employment report for September. The data is expected to provide crucial clues about the likelihood of the Federal Reserve raising interest rates in October.

The nonfarm payrolls report, due at 12:30 GMT, is expected to show that the US economy added 89,000 jobs in September, compared with a loss of 162,000 jobs in August. If employment data come in below market expectations, the probability of a US interest rate hike in October will decline, potentially driving further gains in gold and other precious metals.