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Gold traded slightly higher on Friday but headed for a weekly loss on concerns about aggressive policy tightening by the U.S. Federal Reserve.
Spot gold edged up 0.1 percent to $1,833.04 per ounce, while U.S. gold futures were up 0.1 percent at $1,836.25.
The dollar held steady after overnight data showed the number of Americans applying for unemployment benefits last week jumped by the most in five months. However, layoffs remained historically low, indicating a tight labor market.
U.S. Treasury yields declined as investors await the U.S. monthly jobs report due out later in the day, which could significantly impact the outlook for interest rates.
Economists expect employment to jump by 203,000 jobs in February after an increase of 517,000 jobs in January. The unemployment rate is expected to hold at 3.4 percent.
Next week's consumer price inflation report is another key trigger for markets.
During his testimony to Congress earlier this week, Fed Chair Jerome Powell has warned of higher and potentially faster rate hikes, saying the Fed was wrong in initially thinking inflation was "transitory" and was surprised by the strength of the labour market.