SINGAPORE, Dec 4 (Reuters) - Gold added to overnight gains on Friday and looked set to snap a six-week losing streak as a slump in the dollar buoyed the metal above 2010 lows ahead of the key U.S. nonfarm payrolls data later in the session.
FUNDAMENTALS
* Spot gold XAU= ticked up 0.2 percent to $1,063.80 an ounce by 0052 GMT and looked set to post a 0.5 percent gain for the week.
* The metal rose 0.8 percent on Thursday after the European Central Bank's monetary easing measures fell short of expectations, boosting the euro and hurting the dollar.
* The ECB cut its deposit rate deeper into negative territory and extended its asset buys by six months - widely anticipated moves that some investors considered the bare minimum after the bank had for weeks stoked expectations of stimulus moves. urn:newsml:reuters.com:*:nL8N13S1HC
* The euro EUR= jumped more than 3 percent against the dollar after the policy announcement and bond yields surged. Disappointed investors had anticipated a 25-percent increase in monthly asset buys, with some even pricing in a bolder deposit rate cut than the move to -0.3 percent from -0.2 percent.
* The dollar fell to a one-month low against a basket of major currencies on the euro's rally. USD/
* A weaker dollar supported the greenback-denominated gold, which edged away from a near-six-year low of $1,045.85 reached earlier on Thursday on fears of a looming U.S. rate hike.
* Investors were awaiting the U.S. jobs report later this session to gauge the strength of the economy and how it would impact the Federal Reserve's monetary policy.
* The Fed is widely expected to hike rates at the Dec. 15-16 policy meeting. Higher rates tend to weigh on non-interest-paying gold.
* Investors have been positioning for such a move by pulling out of bullion funds. Assets in SPDR Gold Trust, the top gold-backed exchange-traded fund, are at their lowest since September 2008. GOL/ETF
* Fed Chair Janet Yellen, speaking before Congress' Joint Economic Committee on Thursday, said the United States may be "close to the point at which we should be raising" rates.
* Yellen also said the U.S. economy needs to add fewer than 100,000 jobs a month to cover new entrants to the workforce, perhaps setting an implicit floor for jobs growth that policymakers want to see. In contrast, analysts expect the November payrolls report on Friday to show 200,000 jobs were added last month.
* For the top stories on metals and other news, click TOP/MTL or GOL
DATA AHEAD (GMT)
0700 Germany Industrial orders Oct
1330 U.S. Nonfarm payrolls Nov
1330 U.S. Unemployment rate Nov
1330 U.S. International trade Oct
PRICES AT 0052 GMT Metal
Last
Change Pct chg
Spot gold
1063.8
1.63
0.15 Spot silver
14.125
0.045
0.32 Spot platinum
850.31
7.32
0.87 Spot palladium
539.47
4.5
0.84 Comex gold
1062.8
1.6
0.15 Comex silver
14.095
0.018
0.13
COMEX gold and silver contracts show the most active months