Gold prices flattened in the Asian session as the US dollar and stronger US treasury yields weighed on the appeal of the yellow metal.
The gold spot changed little with the price movement continuing to hover at the support level at $ 1,780 per ounce, waiting for a clear catalyst to stimulate more aggressive movements.
The US dollar continued to maintain its strength against its major rivals, while bond yields climbed back above 1.40% after falling to their lowest level on Friday.
Being the main focus of gold investors now is the publication of inflation data from the United States and China this week which is expected to continue to show an increase in prices.
According to analysts, the price of gold is now caught between two factors, namely the expectation of a faster interest rate hike by the Federal Reserve (Fed) and its demand as a hedge to inflation.
This makes the gold price movement continue to hover around the same price in today's trading session.
However, high inflation readings are expected to provide temporary support for gold trading as more other major central banks still want to wait and see compared to the Fed who wants to act immediately.
