Spot gold was quoted at 670 usd an ounce, up from the 668.80 level seen at Friday's close. Earlier in today's session, gold struck 673.15 usd, a fresh seven-month high since last Wednesday.
'Gold has rallied back above 670 usd after strong buying was seen from Japan and in response to the bomb attacks in India,' said TheBullionDesk.com analyst James Moore.
The dollar has softened recently after some soft US data, increasing gold's appeal as an alternative investment.