Gold prices held steady on Wednesday, supported by geopolitical tensions over North Korea and expectations that low inflation in the United States could delay another interest rate hike there. Spot gold was nearly unchanged at $1,338.10 per ounce by 0641 GMT, after touching its highest since September 2016 in the previous session.
US gold futures for December delivery edged 0.1-percent lower to $1,343.40. "We're being driven by headlines and a weaker dollar and not necessarily by fundamental reasons, so I'm a little cautious of these levels," said Jeffrey Halley, a senior market analyst at OANDA. Spot gold may retest resistance at $1,345 per ounce, a break above which could lead to a gain to the next resistance level at $1,350, said Reuters technical analyst Wang Tao.