The yellow metal fell lower below $2,900 on profit-taking at the start of the new week.
However, global trade war concerns following President Donald Trump's push for retaliatory tariffs limited gold's losses further.
At 9.15 am, gold was at $2,889.06, up a slight 0.24% since it opened in early Asian trading on Monday.
The delay in Donald Trump's tariff proposal prompted profit-taking among investors, which limited gold's further surge.
Thursday's executive order laying out a plan for retaliatory tariffs on foreign countries has been delayed as the current US administration plans to roll out the measures gradually.
The reduced risk of a trade war also weighed on gold's safe-haven value.
Meanwhile, investors will be closely monitoring developments surrounding Trump's further tariff policies. Any signs of increased trade tensions and uncertainty could increase safe-haven flows that benefit precious metals.
Weak US economic data dragged the US dollar lower, allowing gold to continue to dominate the market.
US Retail Sales fell 0.9% in January from a 0.7% increase in December, the US Census Bureau reported on Friday. The figure was below the market consensus of a 0.1% decline.
