Gold edged lower on Friday as the dollar rebounded ahead of an eagerly awaited U.S. non-farm payrolls report, but still looked set to snap a six-week losing streak.
On Thursday it rallied nearly 1 percent after monetary easing measures from the European Central Bank fell short of expectations, boosting the euro and sending the dollar to its lowest in a month.
Spot gold was down 0.1 percent at $1,061.31 an ounce by 1244 GMT. It was however on track for a 0.3 percent gain for the week.
“The ECB announcement disappointed expectations and the immediate reaction of the euro reflected that, aiding gold in dollar terms,” Mitsubishi Corp strategist Jonathan Butler said.
“But if the U.S. economic recovery is indeed continuing and we see a fairly healthy jobs number, the story remains intact for a December rate rise, which should mean some further strengthening of the dollar and some more downside for gold.”
