The yellow metal has made a modest recovery towards $3,700 after recording a price decline last weekend. The support has been pushed higher as the Federal Reserve (Fed) cut interest rates at its September meeting as expected.
Market players will continue to assess the indications of Fed officials' speeches this week.
At 9.10 am, gold prices were at $3,694, up 0.24% since it opened in early Asian trading on Monday.
The Fed has eased its policy by 25 basis points, which is the first rate cut in 2025, supported by a weaker labor report and concerns about high US inflation pressures.
Weaker interest rates will continue to support gold buying support as holders' opportunity costs are lower.
Fed Chairman Jerome Powell said the rate cut was to contain market risks and stated that future decisions will be determined at the next meeting.
Meanwhile, geopolitical conflicts continue to be in the spotlight after news of Russia carrying out drone and missile strikes across the country over the weekend despite ongoing ceasefire talks.
Tensions over war conflicts in the Middle East and Eastern Europe could boost traditional safe-haven assets such as gold.
