Gold prices fell nearly 1% to end the week as rising US Treasury yields prevented the metal from clearing the $4,200 resistance level despite a weak non-farm payrolls print.
Gold prices faced downward pressure, declining nearly 1% as the asset failed to sustain momentum above the $4,200 resistance level. Despite a weaker-than-expected US Non-Farm Payrolls (NFP) report, the metal's upside was capped by a concurrent rise in US Treasury yields, which typically diminishes the appeal of non-yielding assets like gold.
Gold prices fell because US Treasury yields rose, which offsets the typical safe-haven demand that usually follows weak economic data.
The asset is struggling to decisively break through the $4,200 milestone.
Gold prices retreated nearly 1% on Friday as the precious metal failed to sustain momentum above the $4,200 threshold. Rising US Treasury yields exerted downward pressure on the asset, offsetting the impact of a softer-than-expected US employment report.
Gold prices declined because rising US Treasury yields increased the opportunity cost of holding non-yielding bullion, overshadowing the market impact of the softer employment data.