Gold was little changed as the dollar pared gains on Wednesday, after bullion inched down to the lowest in more than three months following the previous day's sharp sell-off and a technical break well below the key $1,300-an-ounce level. Spot silver and platinum prices also extended losses to the lowest since late June.
Spot gold was down 0.05 percent at $1,267.12 an ounce by 2:13 pm EDT (1813 GMT), after falling to $1,261.59, the lowest since June 24, when the market reacted to Britain's shock vote to leave the European Union. This followed Tuesday's 3.3 percent fall, its biggest daily loss in three years.
US gold futures for December delivery settled down 0.1 percent at $1,268.60. Traders said a break of the 200-day moving average at $1,258 could spark another sell-off, which could drive gold toward $1,248, a Fibonacci retracement level. "The stronger dollar, a break of key technical levels, speculative positioning which was very long, weak physical Chinese and Indian demand all contributed," said Carsten Menke, analyst at Julius Baer, referring to recent weakness. Silver was down 0.01 percent at $17.78 an ounce, after falling to $17.51, the lowest since June 24. Platinum was down 0.8 percent at $974.15, after falling to $966.10, the lowest since June 28, while palladium was down 3 percent at $676.30.