Gold futures on the COMEX division of the New York Mercantile Exchange fell for the third straight day as strong labor data released on Friday boosted U.S. dollar.

The most active gold contract for December delivery went down 9.8 U.S. dollars, or 0.77 percent, to settle at 1,264.60 dollars per ounce.

Gold futures settled lower as U.S. dollar jumped after a report from the Labor Department showed stronger-than-expected job creation last month.

Total non-farm payroll employment increased by 209,000 in July, and the unemployment rate was little changed at 4.3 percent, according to the report.

Employment increased mainly in food services, professional and business services, and health care, the report added.

The strong labor data may also encourage the Federal Reserve to go on with another interest rate hike later this year, said some analysts.

As a result, the U.S. dollar index rebounded by 0.83 percent to 93.57 as of 1734 GMT after days of decline. The index is a measure of the dollar against a basket of other major currencies. When the dollar goes up, gold futures will fall.

Meanwhile, the Dow Jones Industrial Average continued to rise. It increased 46.62 points, or 0.21 percent, to 22,072.72 as of 1744 GMT, putting additional pressure on gold. When equities post gains, the gold futures usually fall, as investors are not necessarily seeking safe haven.

As for other precious metals, silver for September delivery fell 37.8 cents, or 2.27 percent, to close at 16.252 dollars per ounce. Platinum for October went up 4.4 dollars, or 0.46 percent, to settle at 969 dollars per ounce.