Gold hovered below a three-month high on Wednesday, after rallying 1 percent in the previous session, supported by expectations for more cheap loans to be offered by the European Central Bank later in the day. Spot gold was little changed at $1,784.64 an ounce by 0026 GMT, after hitting $1,789.40 on Tuesday, its highest level since mid-November. US gold edged down 0.1 percent to $1,786.50.