SINGAPORE: Gold fell more than 1 percent on Monday, coming off its highest level in almost seven months hit in the previous session, but a recent spate of stimulus measures from central banks that has buoyed bullion is expected to continue supporting prices.
Gold has gained more than 10 percent over the last five weeks, biggest such gain since September 2011, after the Federal Reserve and European Central Bank each announced their latest monetary easing measures to support their economies.
"I'm not worried at all about gold," said Dominic Schnider, an analyst at UBS Wealth Management in Singapore, "Despite the short-term retracement, gold is still a buy, and is still attractive. The $1,950 level is still a guidance."
Spot gold fell as much as 1.4 percent to $1,757.14 an ounce, after hitting $1,787.20 hit in the previous session, its highest since Feb. 29. Gold rose 0.6 percent last week, its fifth straight week of gains.
US gold lost 0.9 percent to $1,762.70 by 0258 GMT.
A stronger dollar also weighed on commodities priced in the greenback, making them less attractive to buyers holding other currencies.
"I wouldn't be surprised to see gold pull back to the $1,750 area but dips will continue to be bought," a Singapore-based trader said.
Spot platinum dropped as much as 2 percent to $1,603.5 an ounce and spot silver fell 1.9 percent to an intra-day low of $33.78.
Equities and other commodities also weakened, as investors returned to worrying about the global economic prospects with a string of data due this week.
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