Gold ticks lower

Gold prices eased on Monday, as investors locked in profits and a firmer dollar added pressure, while the market's focus shifted to upcoming US PCE data for cues on the Fed's policy path, reports Reuters.

Spot gold inched down 0.1 per cent at $3,370.14 per ounce, as of 0957 a.m. ET (13:57 GMT), after hitting its highest level since August 11 on Friday. US gold futures for December delivery also fell 0.1 per cent to $3,414.90.

The dollar nudged 0.2 per cent higher against rival fiat currencies, making bullion priced in the currency more expensive for foreign buyers.

"The market is absorbing Powell's comments from Friday and perhaps taking a little bit of profit, as we await fresh inputs that might give a better indication of the likelihood of a September rate cut," said Peter Grant, vice president and senior metals strategist at Zaner Metals.

Gold prices climbed to a near two-week high on Friday, after Federal Reserve Chair Jerome Powell signaled a possible interest rate cut at the US central bank's meeting next month. Powell said that risks to the job market were rising, but that inflation remained a threat and a decision had yet to be taken.

Markets anticipate a more than 83 per cent chance of a 25-basis point rate cut at the Fed's September policy meeting, according to the CME FedWatch Tool.