Gold recorded a decline at the end of last week after breaking a new record at $3,057 driven by the FOMC meeting report and the renewed Middle East conflict.
At 8.50 am, the gold price was at $3,019.57, down 0.14% since it opened at the beginning of Monday's trading in the Asian session.
The market atmosphere at the beginning of the week is expected to be a little gloomy as bullion will set a defensive position when the US dollar has found its rhythm again to be at 104 points on its index reading.
In addition, after reaching a new high, investors have been encouraged to take some profits and return to focus on Donald Trump's trade policy. However, the latest Federal Reserve (Fed) official's speech on the economy is still in favor of gold's upward movement.
The views of Fed policymakers show that Chairman Jerome Powell's stance still remains not to rush into implementing interest rate cuts.
However, they are still uncertain about the economic response to the tariffs recently imposed on certain products.
Looking to the geopolitical front, Israel announced an escalation of attacks on Gaza as pressure mounted for the release of hostages and ignored two-month ceasefire negotiations.
