Prices of safe-haven gold rose to a near three-month high on Wednesday, boosted by uncertainty surrounding US President Trump's policies and a softer dollar, reports Reuters.
Spot gold added 0.4 per cent to $2,755.19 per ounce as of 1200 GMT. The price hit its highest level in 12 weeks earlier in the session and is close to its record peak of $2,790.15 reached in October.
US gold futures gained 0.3 per cent to $2,766.80.
Spot silver fell 0.1 per cent to $30.8201, hovering near a one-month high hit on Jan. 16.
The dollar index dipped to over a three-week low earlier in the session. A weaker dollar makes gold more attractive for holders of other currencies.
"Gold and silver prices have both benefited from the increased uncertainty caused by Trump announcements, including tariffs, with investors also evaluating their inflationary impact and effects on monetary policies," said Ole Hansen, head of commodity strategy at Saxo Bank.
"In the coming days and weeks, the precious metal market will be held hostage to the ebb and flow of news from Washington."
Trump vowed to impose tariffs on the European Union and said his administration was considering a 10 per cent tariff on Chinese imports due to fentanyl being trafficked from China to the United States via Mexico and Canada.
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