Gold prices fell on Monday as U.S. Treasury yields firmed up and the dollar recouped some losses on concerns about rising inflation and a possible slowdown in global growth.
Spot gold dropped 0.6 percent to $1,750.31 per ounce, after having climbed to its highest since Sept. 23 at $1,765.54 earlier in the day. U.S. gold futures were down half a percent at $1,750.25.
European stock markets were subdued amid concerns that regulatory clampdowns and a collapse at Evergrande could hurt an already fragile Chinese economy and drag on global growth.
Worries grew about China’s property sector after troubled property developer China Evergrande’s shares were suspended from trading in Hong Kong following reports that another major developer was planning to buy its property management unit.
Debt-laden Evergrande missed a key interest payment for the second time last week as it struggles to refinance over $300 billion in liabilities.
On the data front, investors look ahead to the release of U.S. jobs data on Friday for fresh clues on the health of the world’s biggest economy. A strong reading may put pressure on the Federal Reserve to act sooner than later.