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Gold prices were down on Monday as risk appetite faded on hopes for a coronavirus treatment in the face of a resurgence of virus cases around the world.
Signs of a thaw in U.S.-China tensions added to the downward pressure on the precious metal.
Gold prices sank $13.50 or 0.70 percent to $1,928.90 per ounce after peaking earlier at $1,950.37.
The dollar is steady as investors look ahead to the U.S. Federal Reserve's annual Jackson Hole meeting later in the week, where Chair Jerome Powell will talk on the Fed's monetary policy framework review. It is expected that the U.S. central bank will reiterate its pledge for ultra-low rates.
Risk sentiment received a boost today after the U.S. FDA announced an emergency use authorization for the use of convalescent plasma in helping treat patients with COVID-19.
Other reports suggest that Trump's team is privately seeking to reassure U.S. companies that they can still do business with the WeChat messaging app in China.
