Zhitong Finance noticed thatBugisarcadeThe Fed may need to cut interest rates for longer than expected because of concerns about persistent inflation risks, with gold falling for the first time in a row in more than two months.

As of press time, spot gold is $2303.44 an ounce. The Bloomberg dollar spot index fell slightly after falling 0.7% on Thursday. Silver, platinum and palladium prices strengthened.

Investors are waiting for monthly U.S. jobs data to be released late Friday to learn more about the strength of the U. S. economy. Data released on Thursday showed that labour costs rose the most in a year as productivity growth slowed, adding to price pressures. Federal Reserve Chairman Colin Powell said Wednesday that policy makers need more evidence that price rises are cooling before lowering borrowing costs.

Gold prices held steady at 2 per ounce on FridayBugisarcade, over 300 dollars. The non-farm payrolls report could show a slowdown in job growth, which could help boost expectations of interest rate cuts. Lower interest rates are usually good for interest-free metals.

The price of gold has risen 12% this year and continues to trade near record highs. Gold prices have been boosted by strong central bank purchases, strong demand from China and safe-haven demand from conflicts in Ukraine and the Middle East. The dollar also provided support on Thursday, when it recorded its biggest decline since December.