Pedro Goncalves writes:

Gold prices saw a modest uptick on Monday, following a sharp decline last week, as the dollar’s recent rally faltered. Traders are now looking ahead to remarks from Federal Reserve officials later this week for further direction on the US interest rate outlook.

Spot gold rose marginally by 0.1% to $2,588.28 per ounce, while US gold futures edged 0.6% higher to $2,586.30 at the time of writing.

The increase comes after the US dollar index (DX-Y.NYB), which surged 1.6% last week, pulled back slightly, easing pressure on gold. A weaker dollar tends to make gold more affordable for holders of other currencies, supporting demand for the precious metal.

Gold prices have struggled to break through the key $2,600 level since last week, with market participants factoring in expectations of a more cautious pace of rate cuts by the Federal Reserve.

This slump comes after a strong rally over the past year, with gold gaining nearly 30% in value and reaching an all-time high of $2,790.15 in late October, as investors sought safe-haven assets amid global economic uncertainties.

The latest S&P Global reading has shown consumer sentiment slipping in the UK, as job security dips and strains remain on household finances.

“A key concern going forward will be the labour market. Rising incomes and busier workplaces have underpinned much of the improvement in consumer sentiment over the past two years, but job security is showing signs of waning," said Chris Williamson, chief business economist at S&P Global Market Intelligence.

"Any intensification of job worries, spurred perhaps the recent measures announced in the Budget, including higher employer National Insurance contributions, could result in a further loss of consumer confidence. This would likely in turn hit consumer spending and economic growth."

The headline CSI, a combination of survey gauges tracking consumer financial wellbeing, labour market conditions, household spending, savings and debt, fell from 47.3 in October to 46.9 in November. Although below the neutral 50-point mark, November’s reading is the third-highest since August 2021, exceeded only by October’s reading and July’s post-general election bounce.

Singapore-based clothing manufacturer Shein is targeting next year for a public listing, according to a report in The Times, in a deal that could value the retailer at $50bn.

The investor roadshow is expected before the end of the year, with its IPO prospectus to follow.

The Times also reported the cheap sartorial purveyor will list in London, after it scoped out the US and was told by the SEC the application would have to be submitted as a public filing.

JP Morgan and Morgan Stanley have been brought in as advisors.

Richard Hunter, head of markets at interactive investor, said:

Asian stocks lost steam slightly in trading hours on Monday, after jumping following a plea from China's securities regulator that listed companies should boost returns on their stocks.

The CSI 300 (000300.SS) was 0.6% lower by the end of the session, while the Hang Seng (^HSI) in Hong Kong closed 0.8% higher.

Over in Japan, the Nikkei (^N225) lost 1.1% as tech shares followed the Nasdaq lower after a drop on Friday.

Data shows the average price of a UK property coming to market is down 1.8% this month, or the equivalent of a ￡5,366 discount, as the cost of a home swoops to ￡366,592.

This marks the second month of higher than average declines on the trot, with the usual drop seen at this time of year being 0.8%, according to property portal Rightmove.

Last month’s pre-budget jitters have turned into post-budget disappointment, creating new challenges for the housing market, and appear to have caused a larger-than-normal seasonal slowdown in pricing as we head towards Christmas, Rightmove said.

Despite the budget, activity remains stronger than last year due to optimism around the interest rate cut path, which is feeding through to mortgage rates. Due to this, following analysis of real-time data, Rightmove has forecast a 4% increase in average new seller asking prices next year.

Read more on Yahoo Finance UK

US stock futures were mixed on Monday, with the Nasdaq and S&P 500 looking set to recoup some losses.

From our US team:

US stocks sank on Friday, recording steep weekly losses as investors absorbed Chair Jerome Powell's signal that the Federal Reserve won't hurry to make interest-rate cuts.

The S&P 500 (^GSPC) dropped 1.3%, while the Dow Jones Industrial Average (^DJI) slid 0.7%. The tech-heavy Nasdaq Composite (^IXIC) led declines, falling 2.2%.

Powell's hawkish comments are casting a pall on markets as the initial optimism for President-elect Donald Trump's policies starts to wear off. The S&P has already reversed one-third of its post-election rally, and the Nasdaq logged a weekly loss of over 3%.

Retail sales data released on Friday reflected continued resilience in the American consumer, a sign of the economic strength Powell suggested would allow the Fed to take its time. October sales rose 0.4% month on month, versus 0.3% expected, including a revision higher for September's reading to 0.8% from 0.4%.

Hello from London. Lucy Harley-McKeown here, ready to bring you the latest news from markets. Let's get to it.