Spot gold eased 0.2% to US$1,300.92 per ounce as of 1123 GMT, having risen earlier in the session to US$1,304.42, its highest since June 14, 2018. The metal broke above US$1,300 in the last session after failing to do so multiple times before.

US gold futures climbed 0.2% to US$1,300.10 per ounce.

“With the news over the weekend that at least on a temporary basis, we have an end to the shutdown in the US, you’d expect gold prices to be a little bit softer,” Julius Baer analyst Carsten Menke said.

Late on Friday, US President Donald Trump succumbed to demands for reopening the government without securing US$5.7 billion from Congress for a border wall, a move that brought some relief to the wider markets.

The dollar index, a gauge of its value versus six major peers, held steady. The dollar also gained from some limited safe-haven flows due to the US-China trade spat, denting the appeal of dollar-priced bullion.

Gold is hovering around the much-discussed US$1,300 psychological resistance, tracking back from which may kindle some jitters among investors, Capital Economics analyst Ross Strachan said.

Investors are bracing for a busy week with the culmination of high-level trade talks between the United States and China on Jan 30-31.

Also awaited is the Federal Open Market Committee meeting between Jan 29 and Jan 30, where Chairman Jerome Powell is widely expected to acknowledge growing risks to the US economy as global momentum weakens.

“A number of investors will find this an opportune time to get in before the next move higher, likely, given the state of the global economy … we continue to expect prices to rise towards US$1,350,” Capital Economics’ Strachan said.

Gold is likely to break to US$1,311 as it has cleared resistance at US$1,299, Reuters analyst Wang Tao said.

Palladium slipped 0.6% to US$1,351.88 per ounce. Prices hit a record high of US$1,434.50 on Jan 17.

Silver fell 0.4% to US$15.68 per ounce, while platinum shed 0.4% to US$810.