<p>Gold prices edged up on Wednesday, after hitting a one-week low in early trade, lifted by renewed fears over economic recovery and uncertainty around the US presidential election after President Donald Trump's Covid-19 diagnosis.</p>.<p>Earlier in the day, spot gold hit its lowest since Sept. 28 at $1,872.66 per ounce. Bullion prices climbed 0.3 per cent to $1,882.12 by 0345 GMT. US gold futures were down 1.2 per cent at $1,886.30. The low interest rate environment globally along with uncertainties stoked by the upcoming US elections bodes well for gold, said Brian Lan, managing director at dealer GoldSilver Central in Singapore.</p>.<p>However, "if US dollar strengthens more we will see it cap gold prices." The US president, who is being treated for Covid-19, called off negotiations on Tuesday over the aid package that was meant to stimulate the economy, until after the Nov. 3 election.</p>.<p>The announcement stoked risk aversion, while bolstering the US dollar and dragging gold prices lower up to 2 per cent. Gold tends to benefit from widespread stimulus measures as it is widely viewed as a hedge against inflation and currency debasement.</p>.<p>The dollar index was last up 0.2 per cent against rivals. Trump's decision to call off stimulus talks increases downside risks for an already shaky US economy, which is likely to favour safe-harbour flows into the dollar, in which the bullion is priced.</p>.<p>Meanwhile, top US and European central bankers on Tuesday called for renewed government spending to support families and businesses hit by the pandemic. Investors would now watch out for minutes from US Federal Reserve's Sept. 15-16 policy meeting and vice presidential debate due later in the day.</p>.<p>On the technical front, spot gold may revisit its Sept. 24 low of $1,847.57 per ounce, according to Reuters technical analyst Wang Tao. Silver rose 1.5 per cent to $23.43 per ounce, platinum was up 1.3 per cent at $859.05, while palladium climbed 0.4 per cent to $2,351.30. </p>
<p>Gold prices edged up on Wednesday, after hitting a one-week low in early trade, lifted by renewed fears over economic recovery and uncertainty around the US presidential election after President Donald Trump's Covid-19 diagnosis.</p>.<p>Earlier in the day, spot gold hit its lowest since Sept. 28 at $1,872.66 per ounce. Bullion prices climbed 0.3 per cent to $1,882.12 by 0345 GMT. US gold futures were down 1.2 per cent at $1,886.30. The low interest rate environment globally along with uncertainties stoked by the upcoming US elections bodes well for gold, said Brian Lan, managing director at dealer GoldSilver Central in Singapore.</p>.<p>However, "if US dollar strengthens more we will see it cap gold prices." The US president, who is being treated for Covid-19, called off negotiations on Tuesday over the aid package that was meant to stimulate the economy, until after the Nov. 3 election.</p>.<p>The announcement stoked risk aversion, while bolstering the US dollar and dragging gold prices lower up to 2 per cent. Gold tends to benefit from widespread stimulus measures as it is widely viewed as a hedge against inflation and currency debasement.</p>.<p>The dollar index was last up 0.2 per cent against rivals. Trump's decision to call off stimulus talks increases downside risks for an already shaky US economy, which is likely to favour safe-harbour flows into the dollar, in which the bullion is priced.</p>.<p>Meanwhile, top US and European central bankers on Tuesday called for renewed government spending to support families and businesses hit by the pandemic. Investors would now watch out for minutes from US Federal Reserve's Sept. 15-16 policy meeting and vice presidential debate due later in the day.</p>.<p>On the technical front, spot gold may revisit its Sept. 24 low of $1,847.57 per ounce, according to Reuters technical analyst Wang Tao. Silver rose 1.5 per cent to $23.43 per ounce, platinum was up 1.3 per cent at $859.05, while palladium climbed 0.4 per cent to $2,351.30. </p>