Gold prices extended declines in Asian trading on Monday

 Gold prices continued their downward trend in Asian markets on Monday, pressured by a stronger U.S. dollar and rising Treasury yields. Spot gold slipped 0.4% to $2,290.50 per ounce by mid-morning, after posting losses last week. U.S. gold futures also fell, dropping to $2,295.30 per ounce.

The dollar's recent strength, buoyed by expectations that the Federal Reserve may keep interest rates elevated for longer, has weighed heavily on bullion. Higher interest rates increase the opportunity cost of holding non-yielding assets like gold.

Traders are now awaiting key U.S. economic data and comments from Fed officials later this week, which could provide further cues on the central bank’s monetary policy outlook.

Despite the short-term pressure, some analysts believe that longer-term demand for gold could remain firm, particularly if concerns about a slowing global economy intensify.