Gold prices rise as bond yields retreat

Gold prices rose about 1% on Monday, as a retreat in U.S. bond yields and persisting worries about inflation lifted the safe-haven asset ahead of major central bank meetings this week.

The U. S. dollar rebounded and closed up on the day, but that failed to impact the rally in the gold market.

Treasury yields moved lower in the wake of a weaker than expected Dallas Fed survey that showed manufacturing eased in Texas while inflation is expected to remain elevated for longer, so gold prices have found the opportunity to reap and reinforce gains above resistance which is now supported at 1,792.

Spot gold gained 0.8% to $1,805.90 an ounce by 1:43 p.m. ET (1743 GMT). U.S. gold futures for December delivery settled up 0.6% at $1,806.80 an ounce.