Gold climbs on soft US jobs data and global uncertainty

Gold prices rose on Friday and were on track for a weekly gain as investors assessed weaker-than-expected US employment data alongside broad policy and geopolitical uncertainty.

Spot gold was up about 0.5% in early afternoon New York trade, hovering around $4,500 an ounce. The metal was poised to post a weekly rise of roughly 4%, after previously setting an all-time high in late December.

US gold futures settled higher, also holding near the $4,500 level.

The US labour report showed non-farm payrolls rose by 50,000 in December, below forecasts of 60,000, while the unemployment rate eased to 4.4%, also slightly better than expected. The data reinforced market expectations that the Federal Reserve will cut interest rates at least twice this year — a backdrop that tends to support non-yielding assets such as gold.

Bart Melek, global head of commodity strategy at TD Securities, said the softer jobs backdrop, potential for heightened geopolitical tensions, firmer oil prices that could add to inflation pressures, and expectations of Fed easing were all feeding into precious metals.

Geopolitical risks remained elevated amid a range of flashpoints, while investors also weighed ongoing uncertainty around US tariff policy. A closely watched US Supreme Court decision on the legality of President Donald Trump’s sweeping global tariffs is now expected on 14 January, after no ruling was issued on Friday.

Metals Focus has said gold could push above $5,000 an ounce in 2026, citing a weaker dollar trend and persistent geopolitical risk.

Physical demand signals were mixed in Asia. Retail buying in India remained subdued due to high prices, while premiums in China widened, indicating firmer local demand.

Other precious metals also strengthened. Silver jumped more than 3% and was set for a strong weekly rise, while platinum and palladium edged up and were also on course for weekly gains. Bank of America has raised its 2026 average price forecasts for platinum and palladium, citing trade-related disruptions in a tight physical market and stronger Chinese imports.