Gold has moved flat since last week around $2,700 following a bearish push from the strengthening of the United States (US) dollar after Donald Trump's victory in the 2024 presidential election.
At 9.15am, the price of gold was at $2,675.56, down 0.33% since it opened in early Asian trading on Monday.
Meanwhile, the US Dollar Index (DXY), which is measured against a group of six world currencies, extended its rise to around 105.00, a four-month high.
Trump's recent victory has fueled questions in the market about whether the Fed should continue to cut rates more slowly later this year and opens up potential strength for the USD that reduces gold's dominance.
A preliminary reading from the University of Michigan in its report showed upbeat US economic data on Friday contributing to the USD surge.
The US Consumer Sentiment Survey rose to 73.0 in November from 70.5 in October and it was a better figure than the market expected of 71.0.
In addition, global economic uncertainty and ongoing geopolitical tensions in the Middle East will provide support for gold to avoid too deep losses.
The head of the Israeli army, Herzi Halevi declared the approval to extend the ground attack to the south of Lebanon.
