Gold was trading near a six-week low on Wednesday as equities recovered on hopes Greece would patch together a deal with its creditors, while the absence of major buyer China also dragged on the metal. Spot gold was little changed at $1,209.90 an ounce by 0734 GMT. It fell to $1,203.30 on Tuesday, its lowest since January 6, before closing down 1.8 percent due to higher stocks and technical selling.
The world's No 2 gold consumer, China, will be closed for a week from Wednesday for the Lunar New Year holiday, removing a key support for gold prices. Chinese buying had been robust in the run up to the holiday, when gold is bought for gift-giving. But sales are expected to taper off during and after the holiday.