Gold prices saw a slight increase after surpassing $3,000 per ounce on Friday amidst news that the US government avoided a shutdown. Despite concerns about economic growth persisting, the precious metal traded close to $2,990 per ounce, having slightly dropped from its near-record high of nearly $3,005 per ounce. The US Senate's approval of a Republican spending plan paved the way for a government funding package.

Market attention is still focused on the implications of President Donald Trump's trade policies, which recently caused the S&P 500 to enter a correction before recovering. This past week was filled with various dramatic events, including the implementation of new tariff threats, predictions of a possible recession, and discussions on Ukraine's future.

The uncertain economic forecast, coupled with a desire for safe-haven assets, has driven gold prices up by 14% this year, following a strong performance in 2024. Banks are increasingly optimistic about future price increases, with projections reaching levels that would have seemed unrealistic not long ago. Macquarie Group predicted prices could reach $3,500 per ounce in the second quarter, while BNP Paribas SA revised its estimates to well above $3,000.

Investors are keeping a close eye on upcoming central bank meetings as trade tensions persist. Federal Reserve Chairman Jerome Powell faces the challenge of reassuring investors about the economy's stability while showing readiness to provide support when needed.

At 8:22 a.m., spot gold was up by 0.2% at $2,988.58 per ounce in Singapore, following a 2.6% increase the previous week. The Bloomberg Dollar Spot Index remained unchanged. Silver prices were relatively stable, while platinum and palladium prices slightly decreased.