Gold prices rose on Wednesday from an 11-day low in the previous session as a U.S. dollar rally appeared to lose steam.
Gold has fallen 1.7 percent from an Aug. 28 high as currency weakness in emerging markets and concerns over global trade disputes strengthened the dollar, making bullion more expensive for buyers with other currencies.
But with the metal still close to a 1 1/2-year low of $1,159.96 an ounce touched last month, there is little room for prices to fall, Julius Baer analyst Carsten Menke said.
“Gold is showing signs of bottoming,” he said.
With the dollar flat against a basket of major currencies , Spot gold was up 0.2 percent at $1,193.73 at 1204 GMT after falling to $1,189.20, the lowest since Aug 24, on Tuesday.
U.S. gold futures were flat at $1,199.20 an ounce.
Gold has tumbled more than 12 percent from a peak in April as the dollar rose to 14-month highs and investors turned against the metal.
In other precious metals, spot silver was up 0.4 percent at $14.13 after falling to its lowest since January 2016 at $13.97 in the previous session.
Source : Reuters