Oil prices inched up in early Asian trading hours on Friday, holding on to their strong weekly gains, as investors weighed the Middle East conflict and the potential disruption in crude flows against an amply-supplied global market.

The S&P 500 fell Thursday, as investors weighed up data pointing to a softer labor market and ongoing geopolitical tensions in the Middle East just a day ahead of a crucial monthly jobs report.

Oil prices rose on Thursday on investor concern that a widening Middle East conflict could disrupt crude oil flows from the region, though a stronger global supply outlook kept a lid on gains.

The gold rally is beginning to look like it has stalled, said HSBC, and the precious metal may ease further unless there is a severe geopolitical risk escalation.

The dollar scaled a more than six-week high versus the yen on Thursday as robustness in the U.S. jobs market reinforced bets the Federal Reserve will not rush to cut interest rates.

European stock markets mostly fell Thursday as the ongoing conflict in the Middle East weighed on sentiment, ahead of the release of regional economic activity data.