By Gina Lee

Investing.com – Gold was down on Monday morning in Asia, hit in the previous session. Higher U.S. Treasury yields helped keep demand for gold above $1,800.

By 1:13 AM ET (5.13 GMT), it had fallen 0.07% to $1.807.01

Matt Simpson, senior market analyst at City Index, stated that $1,800 is a large round number and it makes sense for the fund to offer some support to traders who are brave enough to buy a dip while others make money shorting.

The yellow metal plunged more than 1% Friday, to $1,798.86. This was its fourth weekly drop in a row. It closed at $1.811.15.

It’s not good news for the gold bugs, however. Simpson said that even though we see an increase in prices from $1800, momentum is favoring a further downturn.

Although the, which moves in an opposite direction to gold, was slightly lower on Monday, it still remained close to its 20-year peak. Investors shifted to the greenback, a safe haven currency due to concerns about economic growth.

According to Loretta Mester, Cleveland Fed president, the benchmark fell and that inflation must fall for “several more months” before officials at the U.S. Federal Reserve can conclude it has reached its peak. Mester stated that she is open to consider a quicker rate increase at the September 2022 Fed Meeting if data continues to decline.

Investors are also waiting for the minutes of Tuesday’s meeting.

The price of other precious metals was stable at $938.46 with a 0.1% decline.