• Gold price starts week on back foot as high US yields dent appetite for the non-yielding metal.
• Fed officials signal only one rate cut in 2024 via Minneapolis Fed's Neel Kashkari.
• Upcoming US economic data releases, including Retail Sales and Industrial Production, to influence Gold price.
• Precious metals traders await US Retail Sales and Industrial Production on June 18.

Gold prices retreated on Monday due to rising US Treasury bond yields after Federal Reserve (Fed) officials decided to keep rates unchanged and revised their expectations on rate cuts from three to one later in the year. Therefore, the XAU/USD trades at $2,317, down 0.63%, after retreating from the daily high of $2,332.

The golden metal is on the defensive as US Treasury bond yields advance after Fed officials remained hawkish. Despite that, the Greenback failed to gain traction and remains one of the laggards in the FX space.

Over the weekend, the Minneapolis Fed’s Neel Kashkari discussed monetary policy, saying that “it’s a reasonable prediction” that the Fed will ease policy by just 25 basis points (bps) in 2024. This would keep US bond yields high, making it less appealing to hold bullion as the fed funds rate remains lofty.

Earlier, Philadelphia Fed President Patrick Harker said that if the economy evolves as expected, one rate cut in 2024 is expected. He said the policy is restrictive and positioned to bring inflation to 2%.

Gold traders will watch the release of Retail Sales, Industrial Production, Initial Jobless Claims, and the S&P Global Purchasing Managers Index (PMI) figures.

Data from the Chicago Board of Trade (CBOT) shows traders expect 35 bps of easing during the year via December’s 2024 fed funds rate contract.

News that the People’s Bank of China has paused its 18-month bullion buying spree has weighed on the precious metal. PBOC holdings held steady at 72.80 million troy ounces of Gold in May.