Gold Rises As Dollar Weakens Versus Rivals After Jobs Report

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The price of gold edged higher on Friday as a weaker U.S. dollar improved the precious metal's hedge value.

December-stamped gold climbed to $1,003.30 per ounce, up $3.60 on the session. The metal hit as low as $987.00 but also as high as $1,008.80.

For the week, gold finished up nearly $10 amid choppy trading.

The U.S. Labor Department reported non-farm payrolls dropped 263,000 in September, larger than the decline of 170,000 jobs forecast by experts. The unemployment rate for September came in at 9.8%, as expected.

After an initial surge, the dollar turned notably lower against the euro and other major currencies. The jobs report squashed any hopes for an interest rate increase by the Fed.

Later in the morning, the U.S. Commerce Department said factory orders declined 0.8 percent in August. This followed a 1.4 percent advance in July and a 0.9 percent rise in June.

Earlier, Boston Federal Reserve President Eric Rosengren warned that the economic recovery in the U.S. was fragile and could still possibly fall short of expectations.

On Monday, the ISM non-manufacturing report for the month of September is due at 10 a.m. ET. A reading of 48.4 was reported last month.

(Market News Provided by RTTNews)