Gold prices rose on Monday to settle above the $2,050 level due to the attractiveness of a safe haven as a result of the growing tensions in the Middle East and renewed bets on an early cut in interest rates by the Federal Reserve (the US central bank).
By 0639 GMT, gold in instant transactions rose 0.4 percent to $2,056.20 per ounce, after recording the largest daily gain since December 12 on Friday.
US gold futures rose 0.4 percent to $2,060.10.
Overall, traders are betting on a 166 basis point cut in interest rates this year, higher than Friday morning's bets of 150 basis points.
According to the London Stock Exchange Group's probability of changing interest rates application, traders expect 79 percent that the Federal Reserve will start cutting interest rates in March.
According to Reuters technical analyst Wang Tao, the spot gold price may break the resistance at $2,060 per ounce and rise to the $2,071-$2,079 range.
Silver rose in spot transactions 0.4 percent to $23.25 per ounce, platinum rose 0.7 percent to $911.85, and palladium gained 1 percent to $985.46.
