Gold prices ticked higher on Monday, as expectations that the Federal Reserve will start cutting interest rates later in the year and tensions in the Middle East lifted bullion's appeal.
"Investors will look at the political situation in the Middle East and how the ongoing negotiations for a ceasefire play out.
"Weaker U.S. data offers more policy flexibility for the Fed in terms of rate cuts," paving way for gold prices to stabilize, said IG market strategist Yeap Jun Rong.
Markets are pricing in a 67% chance of a U.S. rate cut in September, as per CME's FedWatch Tool.
Meanwhile, the Perth Mint's gold product sales in April jumped two-fold from a month earlier, while silver sales fell to their lowest since December.
Persons:
Kelvin Wong, Benjamin Netanyahu, Yeap Jun Rong, John Williams, Austan Goolsbee
Organizations:
Co, Federal Reserve, Asia Pacific, New York Fed Bank, Chicago Fed, Perth
Locations:
Bangkok, Thailand, OANDA, Gaza, U.S