The yellow metal surged higher to consolidate above $3,000 and hit a high of $3,038 on Tuesday amid uncertainty over Donald Trump’s retaliatory tariffs.
In addition, risk appetite remained subdued despite talks between Trump and Vladimir Putin easing some investor pressure with both sides agreeing to a 30-day ceasefire.
At 8.50am, gold was at $3,031.46, having remained steady since opening early Wednesday in Asian trading.
The Middle East violence between Israel and Hamas sent gold prices soaring again as Israel killed 400 Gazans and disrupted two-month ceasefire talks.
On the data front, the US economic calendar revealed that Industrial Production improved in February. On the other hand, housing data was mixed, with Building Permits falling off a cliff, while Housing Starts rose sharply.
Currently, market participants expect the Fed to keep interest rates unchanged this week and they see a nearly 66% chance of a June cut.
Bullion also continues to find support driven by falling US Treasury yields and a weaker US dollar around 103 basis points.
