09:26 AM EDT, 08/11/2025 (MT Newswires) -- Gold was sharply lower early on Monday as confusion over whether the United States will impose tariffs on imports of gold bars continues.

Gold for December delivery was last seen down US$84.80 per ounce to US$3,406.50 per ounce, after rising as high as US$3,543.10 on Friday in volatile trade.

Friday's gains followed reports the United States plans to impose tariffs on imports of one-kilogram and 100-ounce gold bars that could limit imports of the precious metal. The Trump Administration on Friday denied it will impose a levy on gold, but its policy remains unclear.

"Gold trades lower, led by the New York futures price, as traders await clarification from the White House over its tariff policy. Confusion reigned on Friday after a government agency stunned the market by formally ruling that COMEX-accepted sized bars would be subject to tariffs," Saxo Bank noted.

The dollar rose early, with the ICE dollar index last seen up 0.29 points to 98.47. Treasury yields were little changed, with the U.S. two-year note last seen paying 3.77%, up 0.1 basis points, while the yield on the 10-year note was down 1.7 points to 4.269%.