Following steady movement on the London Metal Exchange, gold may again shoot up as analysts said it would take its cue from encouraging employment news in the United States last week, where more jobs slated to be added by employers spurred a rally of six key industrial metals, led by zinc and silver, which gained its record level for the past three weeks.

As the US currency momentarily shed some of its value before recovering against the Euro, gold was trading at 1.2 percent below its usual norm though Peter Fertig of Germany's Quantitative Commodity Research Ltd said that the level could be but temporary as the robust prices of the other metals would surely pull up gold prices.

Mr Fertig added that a relatively weaker US dollar traditionally results into higher prices for gold but he noted that much movement could be seen for the rest of the day as market activities adjust to the holiday being observed in America.

In London, ready-for-delivery gold bullion prices jumped by 0.2 percent or $US2.80 to settle at $1249.55 as compared to the 0.7 percent that the precious metal had achieved last week while December deliveries remained generally untouched at $US1251.20 as the Comex trading closed shop for the Labor Day holiday.

Also, gold managed to maintain its afternoon 'fixing' level of $US1249 in London, coming from the morning fixing level of $US1249.50 as analysts noted that spot prices for the precious metal have been registering consistent gains in the past five weeks of trading.

The upward surge, according to most experts, has been gold's greatest moment of a marathon rally since September of 2009 as bullion improved by 14 percent in 2010 posting a high of $US1265.30 by the third week of June, which analysts said should amply serve as buffer for investors in dealing with the financial crisis in Europe and its attending hiccups.