US job growth beats expectations in September
Gold down 1.7 so far this week
Silver, platinum, palladium heads for weekly fall

Oct 6 Reuters Gold prices fell on Friday after strong jobs data pushed the dollar and Treasury yields higher, while raising expectations that the market remains strong enough for the U.S. Federal Reserve to keep interest rates higher.

The Labor Department39;s report showed nonfarm payrolls increased by 336,000 jobs in September on a monthly basis, against expectations of 170,000 additions, according to a Reuters poll of economists.

It is going to be difficult for gold to find traction in this higher interest rate environment. There will be areas of technical support for prices once Treasury yields retrace, said David Meger, director of metals trading at High Ridge Futures.

Spot gold was 0.3 lower at 1,814.39 per ounce by 901 a.m. EDT 1301 GMT and was on track for its second straight week of decline, down 1.7 so far this week.

Benchmark Treasury yields edged higher and the dollar index rose 0.4, denting appeal for gold.

Traders are pricing in around a 29 chance of another rate hike from the Fed this year, according to the CME Fedwatch tool. Higher interest rates increase the opportunity cost of holding bullion.

If gold can hold the 1,8051,810 range today, then we should get a good bounce, said Tai Wong, a New Yorkbased independent metals trader.

Indicative of sentiment, SPDR Gold Trust , the world39;s largest goldbacked…