Gold gained momentum around $2,510 during early Asian trading on Monday as expectations of a rate cut by the Federal Reserve (Fed) for September grew more convincing.
At exactly 9.30 am, the price of gold was at $2,499.71 which is down by 0.34% since it opened on Monday.
Market participants will now take more cues from the first reading of the Global Purchasing Managers' Index (PMI) and Fed Chairman Jerome Powell's speech this week at the Jackson Hole symposium event.
However, the yellow metal surged to an all-time high again in late trading last Friday as investors placed more bets on the Fed's rate cut later.
US economic data last week showed that Retail Sales beat estimates and the US Producer and Consumer Price Index showed inflation easing.
In addition, ongoing geopolitical tensions in the Middle East and the Ukraine-Russia war contributed to the demand for gold as a safe-haven asset for investors.
The conflict between Hezbollah and Israel heated up over the weekend despite diplomatic efforts to ease tensions in the region.
International news agencies reported that the Israeli attack last Saturday was one of the deadliest since the fighting began in October.
