Gold rebounds as the dollar softens and oil retreats

Spot gold trades 1.25% higher at USD 4,122 an ounce, recovering from Friday's 1% decline when a stronger-than-expected payrolls lifted the dollar and revived expectations of a December Fed rate hike. Supported today by a softer greenback and falling oil prices as diplomacy offers a potential path towards ending the US-Iran conflict. Underlying demand remains firm, with central banks purchasing 321 tonnes in the third quarter, the fastest pace since 2024, according to the World Gold Council. Together with ETF investors, they helped absorbed selling from short-term momentum funds. Focus now turns to Tuesday's US CPI report and local resistance near USD 4,150.