• Gold price meets with heavy supply on Monday and snaps a four-day winning streak. 
• Rebounding US bond yields help revive the USD demand and weigh on the commodity. 
• Trade war concerns and geopolitical risks do little to lend support to the XAU/USD.

Gold price attracts heavy selling at the start of a new week/month and drops to the $2,623-2,622 area during the Asian session, snapping a four-day winning streak amid a goodish pickup in the US Dollar (USD) demand. Expectations that US President-elect Donald Trump's tariff plans could reignite inflationary pressures and limit the scope for the Federal Reserve (Fed) to cut interest rates trigger a fresh leg up in the US Treasury bond yields. This, in turn, assists the USD to stage a solid bounce from a nearly three-week low touched on Friday and turns out to be a key factor driving flows away from the non-yielding yellow metal. 

The markets, however, are still pricing in a greater chance that the US central bank will lower borrowing costs later this month. This, along with persistent geopolitical risks stemming from the protracted Russia-Ukraine war and conflicts in the Middle East, helps limit losses for the safe-haven Gold price. Traders also seem reluctant and opt to wait for this week's important US macro releases, including the closely watched Nonfarm Payrolls (NFP) report, for cues about the Fed's rate-cut path. This, in turn, will play a key role in influencing the USD price dynamics and determining the next leg of a directional move for the XAU/USD.