Dollar Weakness Sends Gold Above $4,400

The US Dollar's weakness has sent Gold prices soaring above $4,400. The XAU/USD rose over 1% on Monday as investors trimmed their bets on a hawkish Federal Reserve following last week's soft inflation data.

The US Dollar Index (DXY) is down 0.37% at 99.53, providing a tailwind for the precious metal. The US 10-year T-note yield rose to 4.718%, capping Gold's advance towards $4,500.

Last week's inflation data showed that prices have been stuck above the Federal Reserve's 2% target for five years. Fears of a deep recession and geopolitical tensions are driving investors to seek safe-haven assets like Gold.