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Gold prices rose on Wednesday in thin, choppy trading as investors stayed on the sidelines ahead of a European Central Bank policy meeting and a key European summit aimed at resolving the region's debt crisis. Spot gold rose 0.7 percent to $1,740.50 an ounce by 2:22 pm EST (1922 GMT), its second consecutive day of gains. Spot silver fell 1 percent to $32.40. US gold futures for February delivery settled up $13 at $1,744.80 an ounce.
Turnover was just above half of its 30-day average, as some traders who expected a disappointing December shut their books early. Among platinum group metals, platinum slipped 0.1 percent to $1,518.74 an ounce. The gold-platinum spread widened to $220 an ounce on Tuesday, its widest since Reuters started recording prices in 1985.
Platinum has traded at a discount to gold for the past three months - the longest period since 1985. The metal, mainly used as autocatalysts, has lost some of its appeal to investors amid economic uncertainty. Spot palladium rose 1.7 percent to $678.25. The palladium price has rallied nearly 30 percent since hitting one-year lows in September.

Copyright Reuters, 2011

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