Gold firms near one-month peak

Gold prices firmed on Friday to hover near a one-month high, as a retreat in dollar and U.S. Treasury yields and growing recession fears boosted demand, keeping the safe-haven metal on track for its third straight weekly rise, reports Reuters.

Spot gold was up 0.2% at $1,793.88 per ounce, as of 0054 GMT, after hitting its highest since July 5 on Thursday.

Bullion is up 1.6% so far this week.

U.S. gold futures rose 0.2% to $1,810.60.

The dollar struggled to gain a footing on Friday after dropping 0.6% overnight against its rivals, making gold more appealing for other currency holders.

The yield on 10-year Treasury notes also slipped, reducing the opportunity cost of holding non-interest bearing gold.

The Bank of England raised interest rates by the most in 27 years on Thursday in an attempt to smother surging inflation on track to top 13%, even as it warned a long recession is coming.

The monthly U.S. non-farm payrolls report will be closely watched on Friday that could offer more clarity on Federal Reserve's aggressive tightening plans to fight against inflation.