Gold markets dragged lower on selling activity around $3,330 at the start of the week, following the release of stronger-than-expected US Producer Price Index (PPI) data and the monitoring of talks between US President Donald Trump and Ukrainian President Volodymyr Zelenskiy.
At 9.15 am, gold prices were at $3,342, up 0.19% since they opened early Monday in Asian trading.
The stronger-than-expected PPI inflation data presented on Thursday prompted market players to reduce bets on an interest rate cut by the Federal Reserve (Fed) at its September FOMC meeting.
In addition, data released by the US Census Bureau on Friday showed that US Retail Sales data rose by 0.5% in July, compared to a 0.9% increase in June.
However, the market remains cautious amid the potential for a drop in gold prices following the latest news that Donald Trump and Russian President Vladimir Putin have agreed to end the war with Ukraine.
US envoy Steve Witkoff said the agreement was in line with Russia's refusal to allow Ukraine to be included in NATO.
Gold investors are now weighing more clues from Monday's meeting between Trump and Zelenskiy as details of the talks between the US and Russia remain unclear.
