Gold Edges Higher as Dollar Dips Ahead of U.S. Jobs Data

Gold prices gained in Asian trading on Friday as a weaker U.S. dollar lifted demand, though overall gains were capped amid easing trade tensions between the U.S. and China. Spot gold rose 0.5% to $3,255.95 per ounce, while June gold futures gained 1.2% to $3,232.24. Despite Friday’s uptick, bullion remains on track for a 2% weekly loss after three straight days of sharp declines.

The decline in gold this week followed signs of softening rhetoric between the U.S. and China. Beijing indicated it was open to renewed trade talks with Washington, provided that the U.S. cancels unilateral tariffs. Reports also emerged that President Donald Trump’s administration had reached out to China to restart dialogue. Earlier this week, Trump signed executive orders to reduce the impact of auto tariffs, boosting risk appetite and pulling investors away from safe-haven assets like gold.

Meanwhile, the U.S. Dollar Index dipped 0.2% in Friday’s Asian session, making gold more attractive to overseas buyers. The greenback’s softness comes ahead of the closely watched U.S. non-farm payrolls report, which could influence the Federal Reserve’s next interest rate move. Earlier this week, GDP data showed an unexpected economic contraction in Q1, adding to speculation over a potential shift in Fed policy.

Other precious metals also advanced, with silver futures climbing 1.4% to $32.625 an ounce and platinum futures up 0.9% at $982.35. Copper prices jumped on optimism surrounding China’s trade outlook, with benchmark London copper rising 1.9% to $9,379.35 per ton, while July copper futures gained 1.1% to $4.6843 per pound. Investors are closely watching U.S. labor data for further cues on market direction.