Gold rises but heads for second weekly loss

Gold prices rose but remained on course for a second consecutive weekly loss, weighed down by a stronger dollar and higher bond yields.

The US currency was heading for a third week of gains, adding pressure on gold by making it more expensive for buyers using other currencies.

Higher bond yields also reduced the appeal of the precious metal, which pays no interest, as investors weighed the outlook for interest rates.

Attention was turning to US jobs data for clues about the direction of monetary policy. The figures could shape expectations for interest rates and, in turn, influence demand for gold.

Investors were also monitoring tensions in the Middle East, keeping geopolitical risks in focus alongside the economic data.