Gold is up more than 1%, supported by the drop in oil and the drop in inflation fears.
Gold rose in immediate trading by 1.3% to about $4,122 an ounce, continuing its gains after an increase of about 5% last week.
Oil prices fell following statements by US President Donald Trump in which he ruled out launching new attacks on Iran, which eased fears of supply disruptions and inflationary pressures.
Oil fell and the dollar fell, supporting the precious metal, amid expectations that the drop in inflation would limit the need to maintain high interest rates for a longer period.
Even so, the odds of a US interest rate hike in December rose to 79% from 71% after data showed the strength of the labor market, while investors await upcoming inflation data.
Silver also jumped 2.4% in spot deals to $53.15 an ounce.
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