Investing.com - Gold prices moved little in Asian trade on Friday, sticking above key levels as markets awaited a potentially softer U.S. nonfarm payrolls reading, which comes just days before a Federal Reserve meeting. 

The yellow metal had raced to record highs at the beginning of the week, helped by a mix of rate cut bets and safe haven demand. 

But it had lost the record highs as abruptly as it had reached them, as traders locked in profits amid some uncertainty over U.S. monetary policy.

Still, the yellow metal had now maintained the $2,000 an ounce level for nearly three weeks, indicating increased optimism over gold’s prospects in the coming months.

Nonfarm payrolls in sight, markets seek softer reading 

Any further cooling in the labor market gives the Federal Reserve less impetus to keep interest rates higher for longer-a scenario that benefits gold.

Still, the yellow metal may be poised for more strength in the coming months, especially if interest rates fall and global economic conditions deteriorate further.

A raft of recent economic readings from the U.S., Asia and the euro zone suggested that growth was set to cool in 2024.