Gold ticked higher on Thursday to trade above $1,300 an ounce as buyers emerged after a recent sharp drop in prices, but it was still near a four-week low as investors weighed the possibility of a sooner-than-expected hike in US interest rates. "There is some bargain-hunting at these levels after the big drop earlier this week but the sentiment is still predominantly bearish," said one Singapore-based precious metals trader.
Spot gold had climbed 0.5 percent to $1,305.15 an ounce by 0644 GMT, after rising 0.4 percent in the previous session, snapping its biggest two-day decline since December. The metal fell to a four-week low of $1,291.70 earlier in the week.