U.S. nonfarm payrolls data due at 1330 GMT
Gold prices up about 0.6 so far this week
Prices set for correction if they fall below 1,818 analyst

Jan 6 Reuters Gold prices inched higher on Friday after a sharp drop in the previous session, even as the dollar firmed ahead of a closely watched U.S. jobs report that could offer more clarity on the Federal Reserve39;s interest ratehike path.

Spot gold was up 0.1 at 1,834.79 per ounce, as of 1008 GMT, after falling 1.1 on Thursday. Prices have gained about 0.6 so far this week.

U.S. gold futures were steady at 1,839.70.

Gold is probably seeing a little bit of apprehension ahead of the jobs report. It39;s going to have a big impact on yields, on the dollar and therefore on gold, said Craig Erlam, a senior market analyst at OANDA.

The U.S. Labor Department39;s nonfarm payrolls NFP data is due at 1330 GMT. Economists polled by Reuters forecast 200,000 jobs were added last month, easing from November39;s 263,000.

If bullion prices go below 1,8181,820, that would indicate gold is set for a correction after what has been a strong rally since early November, Erlam said.

Weighing on the metal, the dollar index rose 0.4 against its rivals.

Higherthanexpected job gains and more persistent wage pressures may be catalysts to add pressure on gold, said IG Market strategist Yeap Jun Rong.

Data released on Thursday showed U.S. private payrolls increased more than expected in December, while the number of Americans filing new…