Gold retreated on Monday as easing U.S.-China trade tensions boosted investors' risk appetite and dented demand for safe-haven assets such as bullion, while a stronger dollar also piled on the pressure.

Softening trade tensions has caused a sell-off in safe-haven gold, a traditional hedge against rising global instabilities, which rose in an unprecedented rally to notch a record high at $3,500.05/oz last week. For gold futures, “first resistance is seen at this week’s high of $3,363.80 and then at last Friday’s high of $3,384.10.

Chinas gold consumption fell 5.96% year-on-year to 290.492 tons in the first quarter of 2025, according to the China Gold Association, as high gold prices dampened demand for traditional jewellery. The surge in gold