Gold fades bounce off intraday low amid quiet session. S&P 500 Futures drop 0.50%, DXY struggles to keep the gap-up opening. US-China trade fears, virus woes on Europe and Australia weigh on sentiment. Geopolitical catalysts from the Middle East, Asia add to the risk-off mood. Despite failing to extend Friday’s run-up, gold’s latest bounce-off intraday low helps the yellow metal to trim the day’s losses while taking rounds to $1,732-31 during Monday’s Asian session. In doing so, the yellow metal follows S&P 500 Futures and the US dollar index (DXY) moves, amid likely month-end positioning. Risks dwindle but not gold”¦ Market sentiment has been sluggish since the start as weekend headlines weigh on the mood. Among them, US Trade Representative (USTR) Katherine Tai’s comments rejecting China’s hopes of tariff waivers and warning of French doctors, concerning the spike in the covid patients in the Intensive Care Unit (ICU) played a major role. Also on the same side was German Chancellor Angela Merkel’s push for Federal law if needed to direct people to follow the government’s covid restrictions. Further, Australia’s Brisbane, the third-largest city by population, announced a three-day lockdown after finding new local transmission the last week. Additionally, talks over a colossal explosion in Indonesia and the Suez Canal blockage joins alleged weapon building by North Korea and Iran to heavy the sentiment. It should be noted that the hopes of US stimulus and no major challenges to the monetary/fiscal policies at Europe and Japan, as conveyed by either their latest policy statements or the policymakers themselves, help the bulls to stay optimistic. Against this backdrop, S&P 500 Futures decline 0.50% while the US 10-year Treasury yield stays firm around 1.66% by the press time. Amid a lack of major data/events, gold prices should take clues from the risk catalysts and the US dollar moves. Technical analysis Unless declining back below 21-day SMA and a falling trend line from January 06, respectively around $1,725 and $1,718, gold prices are likely to keep the recovery mode on the table. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next USD/CAD Price Analysis: Bulls keep two-month-old resistance line on radar FX Street 1 year Gold fades bounce off intraday low amid quiet session. S&P 500 Futures drop 0.50%, DXY struggles to keep the gap-up opening. US-China trade fears, virus woes on Europe and Australia weigh on sentiment. Geopolitical catalysts from the Middle East, Asia add to the risk-off mood. Despite failing to extend Friday's run-up, gold's latest bounce-off intraday low helps the yellow metal to trim the day's losses while taking rounds to $1,732-31 during Monday's Asian session. In doing so, the yellow metal follows S&P 500 Futures and the US dollar index (DXY) moves, amid likely month-end positioning. Risks dwindle but not gold"¦… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.