The Australian dollar rose to a fresh 29-year high against the US dollar on Monday, supported by continued rise in prices of gold and commodities.

AUD/USD hit a new high of 1.0777 during Asian trading, later trimming the gains to trade at 1.0735.

Gold prices hit another all-time high on Monday, supported by growing tensions in the Middle East and North African (MENA) region and a weak dollar.

Spot gold prices hit a high of $1513.70 an ounce during mid-day trading in Singapore, before trading back to $1512.27.

Besides, silver prices rose to a 31-year high, with US silver futures hitting $47.87 an ounce.

Elsewhere, the euro continued its bullish trend against the greenback, with EUR/USD gaining 0.15 pct to 1.4585, edging close to its 16-month high of $1.4649.

Market players are looking to a news conference by Chairman Ben Bernanke on Wednesday to see how the Federal Reserve plans to seek an exit from its easy monetary policy.

The dollar index, a measure of performance of the greenback against a basket of six other major currencies, stood at 73.982 close to a three-year low of 73.735.

However, the dollar gained 0.2 pct to trade around 82.00 yen, amid concerns over the Bank of Japan (BoJ) lagging behind other central banks in tightening the monetary policy.