Gold prices held steady on Thursday as investors awaited more details on US President Donald Trump's proposed steel and aluminium tariffs, the outcome of the European Central Bank's policy meeting, and US jobs data. Spot gold rose 0.2 percent to $1,328.81 per ounce by 0804 GMT. It hit a one-week high on Wednesday at $1,340.42, before closing lower at $1,325.49 an ounce.
US gold futures were up 0.1 percent at $1,329. "We see gold as a good hedge against rising equity market volatility and heightened political risks around trade tariffs, the NAFTA deal and North Korea," ANZ analysts said in a note.
The White House said late Wednesday that Canada, Mexico and possibly other countries may be exempted at least for a while from the proposed steel and aluminium tariffs. Trump is expected to sign a presidential proclamation establishing the tariffs during a ceremony scheduled for 2030 GMT on Thursday, a source familiar with the situation said.
"Gold is going to be choppy here and remain in rangebound trading ... It is finding some support in the downside around $1,300 levels due to safe haven demand," said Peter Fung, head of dealing at Wing Fung Precious Metals in Hong Kong. Meanwhile, holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell 0.03 percent to 833.73 tonnes on Wednesday from Tuesday.
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