Gold prices sank on Monday as investors locked in some profits following a good first quarter. Attention is now shifting to a slew of U.S. data readings this week for additional hints on monetary policy.

In the first three months of the year, gold prices increased by almost 7%, although the majority of those increases occurred in March due to mounting concerns about a U.S. banking crisis. Despite government assistance calming market worries about an impending collapse, demand for safe haven assets has kept the price of yellow metal broadly supported.

Despite gold still being less than $100 away from a new high for 2020, this led to some profit-taking on Monday.

Spot gold plunged by 0.5% to $1,959.03 per ounce, while gold futures slipped by 0.5% to $1,975.60 per ounce.

The March manufacturing activity data, which is anticipated later on Monday, is the first of several U.S. economic readings that will be in the spotlight this week. According to the estimate, the manufacturing sector in the United States is predicted to have continued to decrease for a fifth consecutive month.