Gold prices were mostly unchanged on Wednesday, as worries over the global economic outlook from rising COVID-19 cases offset an uptick in risk sentiment driven by signs of progress in U.S.-China trade negotiations.
Spot gold was flat at $1,927.26 per ounce by 0037 GMT.
U.S. gold futures rose 0.5% to $1,933.60.
Top U.S. and Chinese trade officials reaffirmed their commitment to a Phase 1 trade deal, which has seen China lagging on its obligations to buy American goods, giving a boost to financial markets on Tuesday.
Asian stocks were set for a choppy session on Wednesday, following a mixed Wall Street session.
More than 23.77 million people have been reported to be infected by the novel coronavirus globally and 814,072 have died, according to a Reuters tally.
Underscoring the virus impact, a survey from the Conference Board showed U.S. consumer confidence unexpectedly fell in August to hit a six-year low.
Gold is used as a safe investment during times of political and financial uncertainty.
Chinese President Xi Jinping warned that the world’s second-biggest economy is facing a period of ‘turbulent change’ and that rising external markets risk required policymakers to increasingly rely on domestic demand to spur growth.
The dollar index held steady against a basket of major currencies.
Silver was steady at $26.43 per ounce, platinum rose 0.1% to $928.12, and palladium fell 0.6% to $2,151.50.