Gold Dips on Profit-Taking as Markets Eye US Inflation Data

Gold prices declined by 0.3% to $4,330.46 per ounce on Monday as investors took profits after the precious metal reached a seven-week high in the previous session.

The decline came despite weaker-than-expected US employment data last week, which prompted futures markets to reassess expectations for Federal Reserve policy and reduce the likelihood of an interest-rate increase at the upcoming meeting.

Analyst Tim Waterer from KCM Trade said gold was edging lower due to profit-taking after strong NFP-inspired gains, but expected it to remain supported above $4,300 in the near term.

Investors are now awaiting key US economic indicators this week, including Consumer Price Index (CPI) on Wednesday and Producer Price Index (PPI) on Thursday, which could provide signals on the Federal Reserve's interest-rate outlook.