Bullion continues its bullish streak above $4,350 in intraday trading over the weekend amid market concerns over the US government shutdown, bets on another Fed rate cut and the US-China trade war tensions since the beginning of the week.
At 9 am, gold prices were at $4,366, up 0.89% since it opened early Friday in Asian trading.
The prolonged government shutdown continues to weigh on the US dollar and support the price of safe-haven assets such as gold.
The federal shutdown has entered its third week after the Senate failed to advance legislation that would restore funding. US Treasury officials said that the US government shutdown could cost the economy up to $15 billion a week.
In addition, bets on a rate cut by the Federal Reserve (Fed) also fueled market momentum.
Jerome Powell said in his statement on Tuesday that the slowdown in hiring poses growing risks to the US economy and strengthened the possibility of cutting interest rates by the end of the year.
Additionally, Fed Governor Christopher Waller indicated that he would welcome another interest rate cut at the Fed's policy meeting later this month, citing mixed readings on labor market conditions.
Lower interest rates could reduce the opportunity cost of holding gold, supporting the precious metal to rise higher.
U.S.-China trade tensions contributed to the yellow metal's rise.
U.S. President Donald Trump said Washington was considering cutting some trade ties with China after both countries began charging additional port fees on ships carrying cargo.
Meanwhile, Trump said late Thursday that he and Russian President Vladimir Putin had agreed to another summit to discuss ending the war in Ukraine, a day before Trump was scheduled to speak with Ukrainian leader Volodymyr Zelenskiy.
