Gold settled lower on Monday as a short-covering rally that boosted prices from 4-1/2-year lows lost steam, with buyers still wary that rising stock markets, upbeat U.S. data and softening investment flows would spell further falls.
The metal rebounded from an early low of $1,131.85 an ounce on Friday after U.S. payrolls data marginally missed expectations. Prices jumped 3.1 percent, their biggest one-day rise since June 19.
That move petered out early on Monday. U.S. gold futures for December delivery closed the session $10.00 lower at $1,159.80 an ounce. Spot gold, meanwhile, was down more 2.2 percent at $1,153 an ounce.