The weakening of the US dollar combined with cooling rate hike expectations sent gold prices fluctuating higher on Monday.

1. In early Monday Asian trading hours, spot gold once rose by 0.82% to $4,411.589 per ounce. The US Dollar Index fell by 0.1%, making gold priced in dollars cheaper for holders of other currencies, thereby providing support for gold prices. 2. Recent economic data have continuously weakened market expectations for a Federal Reserve rate hike next month. US non-farm payrolls in July unexpectedly declined, and the latest consumer price inflation data was moderate, causing the market's probability expectation for a September rate hike to drop to about 33%, significantly lower than 47% a month ago. The market is closely watching the Federal Reserve's July meeting minutes to be released on Wednesday, in search of more clues regarding the monetary policy outlook. 3. On the geopolitical front, a diplomatic source revealed that US President Trump's special envoy met in Cairo on Sunday with mediators from Egypt, Qatar, and Turkey, aiming to advance his Gaza peace plan. This caused oil prices to weaken slightly, easing pressure on the Federal Reserve to raise interest rates and providing support for gold prices. 4. However, Israel continued airstrikes in the Gaza Strip over the weekend, and the geopolitical situation remains uncertain, requiring investors to stay alert.