Gold prices hit their highest in about a week on Tuesday, buoyed by safe-haven demand after US President Donald Trump rattled global markets with his tough stance on immigration. Spot gold had risen 0.51 percent, to $1,201.07 per ounce at 0752 GMT. It earlier touched its highest since January 25 at $1,203.
US gold futures climbed 0.53 percent, to $1,200.1. "There could be some growth challenges if the ban is prolonged. So the current risk aversion (driving gold markets) comes as no surprise," said OCBC analyst Barnabas Gan.
Trump also fired top federal government lawyer Sally Yates after she refused to defend the new travel restrictions.
"The announcement (on Sally Yates) provided the impetus for gold to break through USD $1,200," MKS PAMP Group trader Sam Laughlin said in a note.
"Continued uncertainty surrounding the Trump administration is likely to support the yellow metal over the short term as global equities remain under pressure."
Spot gold may edge up to $1,205 per ounce, as it has pierced resistance at $1,197, according to Reuters technical analyst Wang Tao.
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