Gold rose 2 percent to a two-week high on Friday, after a U.S. non-farm payrolls report, seen as likely to pave the way for the Federal Reserve to raise interest rates this month, failed to aid the dollar's ascent.
Non-farm payrolls increased 211,000 in November, the Labor Department said. September and October data was revised to show 35,000 more jobs than previously reported.
"The second consecutive strong jobs report only briefly blunted the gold rally as renewed euro strength and U.S. dollar weakness has driven further short covering in gold," said Tai Wong, director of base and precious metals trading for BMO Capital Markets in New York, adding this was despite the fact that a December rate hike was now more or less guaranteed.
Spot gold, weaker initially, was up 2.3 percent at $1,086.51 an ounce. It was on track for a 1.9 percent gain for the week. U.S. gold futures for February delivery settled up $22.90 an ounce at $1,084.10.