NEW YORK: Gold prices edged higher on Monday, helped by a retreat in the dollar and bond yields, while investors awaited a slew of US economic data this week for more clues on interest rate outlook.

Spot gold rose 0.2% to $1,918.99 per ounce by 10:48 a.m. EDT (1448 GMT). US gold futures gained 0.4% to $1,946.90.

The dollar was down 0.1% against rivals, making gold less expensive for other currency holders. The benchmark 10-year Treasury yields held below recent peak.

“Strong employment, strong jobs numbers and wage numbers imply continued stress on wages and potential inflation, meaning the Federal Reserve is more likely to keep rates at high levels for a prolonged period,” Bart Melek, head of commodity strategies at TD Securities, said.

“Gold could fall back towards the $1,900 if data remains very robust, I think it’s not outside of the realm of possibilities that gold could go to $1,840,” Melek said.

Higher rates increase bond yields, making non-yielding bullion less attractive.

Investors are pricing in a 56% chance of another hike in 2023, and a 40% chance of the Fed leaving rates unchanged for the rest of the year, the CME FedWatch tool showed.

Highlighting investor sentiment toward bullion, data on Friday showed COMEX gold speculators cut net long positions in the week ended Aug. 22.

Spot silver rose 0.2% to $24.27, holding near Aug. 2 highs. Platinum rose 2.1% to $963.98, while palladium advanced 2.8% to $1,258.88.