Gold prices climbed 0.9% to $3,231 an ounce on Monday, rebounding from last week’s decline, as a weaker U.S. dollar and rising geopolitical tensions renewed safe-haven demand. Technicals show gold holding above its 50-day moving average near $3,169, with traders closely watching the $3,238 level as a breakout trigger. A decisive move above this resistance could open the path toward $3,277 and $3,310, with extended upside targets at $3,435 and $3,500.

The upward move comes in response to a fresh downgrade of U.S. sovereign credit by Moody’s, citing long-term fiscal imbalances. That news, along with rising Treasury yields—10-year hitting 4.51% and the 30-year surpassing 5%—sparked risk-off sentiment across markets. Despite rising yields, the dollar index (.DXY) fell 0.5%, supporting gold’s rally. The RSI indicator on the gold chart is currently neutral near 49.2, but the rebound off the 50-day MA signals buyers are defending key support.