Gold climbs on lower Treasury yields

Gold prices hit a near two-week peak on Wednesday, supported by a dip in U.S. Treasury yields after dovish remarks from Federal Reserve officials, while minutes from the U.S. central bank's last policy meeting will be eyed for more cues on rates, reports Reuters.

Spot gold was up 0.7 per cent at $1,872.10 per ounce at 9:09 a.m. ET (1309 GMT), its highest level since Sept. 29. US gold futures rose 0.6 per cent to $1,886.10.

Dovish comments from Fed officials that the U.S. central bank may pause tightening and turmoil in the Middle East are supporting the gold market, said Jim Wyckoff, senior analyst at Kitco Metals.

Atlanta Fed President Raphael Bostic on Tuesday said he saw no more US rate hikes, while Minneapolis Fed President Neel Kashkari said "possible" higher bond yields meant the Fed could do less.

Spot silver rose 1.3 per cent to $22.09 per ounce. Platinum fell 0.4 per cent to $876.55, and palladium dropped 1.1 per cent to $1,156.94.