Gold prices rose on Monday on a weakening dollar and persisting economic concerns, while restrictions on imports of the metal from Russia by four of the G7 countries also supported prices to some extent.
Spot gold rose 0.4% to $1,833.59 an ounce as of 1200 GMT. US gold futures rose 0.4% to $1,836.80.
Britain, the United States, Japan and Canada will impose sanctions on fresh imports of Russian gold to tighten sanctions on Moscow for attacking Ukraine.
Russia is the third largest gold producer in the world and accounts for about 10% of global production.
FXTM analyst Lukman Otunuga said the metal offered a muted reaction to the news, and gold bugs are gaining strength from a soft dollar and bearish fears.
Meanwhile, a weaker dollar also offered support, making the bullion attractive for overseas buyers.
UBS analyst Giovanni Stanovo said the hike in interest rates will impact gold prices in the next six months.
While gold is considered a hedge against inflation and economic risks, high interest rates increase the opportunity cost of holding a non-yielding asset.
Gold will most likely remain buoyed by inflation concerns, fears of a recession, Fed growth expectations, and as key economic data from major economies and central bankers gather at its annual forum in Portugal this week for the precious metal. Could be a big week, Otunuga added.
The European Central Bank’s annual forum in Sintra is underway with ECB President Christine Lagarde and Federal Reserve President Jerome Powell attending the meeting.
Investors will be eager for any indication of future policy moves following the recent scathing remarks from central bank chiefs.
Spot silver rose 1.4% to $21.41 an ounce, platinum rose 0.1% to $908.69.
Palladium touched its highest in the session nearly three weeks ago, up 2.6% at $1,925.48.