Comey's sacking caused political turmoil that investors fear could derail US stimulus and tax reform plans.

Lower bond yields reduce the opportunity cost of holding non-yielding bullion, but interest rates tend to push yields higher.

Spot gold was up 0.4 percent at $1,223.11 an ounce at 1215 GMT, following eight sessions in which prices have been flat or fallen. On Tuesday it hit $1,213.81, an eight-week low.

US gold futures  were 0.4 percent higher at $1,223.50 an ounce.

"It's a bit of consolidation," said ABN AMRO commodity strategist Georgette Boele. "It's a signal that gold doesn't want to go too much lower at the moment."

Analysts at ScotiaMocatta said the metal would struggle to rise above technical resistance at its 100-day moving average, now at $1,226. Support for the metal was at $1,195, they said.

But expected interest rate rises this year by the US Federal Reserve will put pressure on bullion, said Boele.

"There is a risk that gold may go to $1,200 in the coming weeks or months. But that would only be temporary," she said, forecasting a weaker dollar later in the year.

Data on Wednesday showed US import prices grew more than forecast in April, while the head of the Boston Fed said the central bank should increase rates three more times in 2017 and begin to reduce its $4.5 trillion balance sheet.

Interest rate futures implied traders saw an 80 percent chance of a June rate increase, down from 88 percent on Tuesday, according to CME Group's FedWatch program.

In other precious metals, spot silver was up 1.1 percent at $16.31 an ounce and platinum was 0.3 percent higher at $911.49.

Palladium was up 1.2 percent at $807.85 an ounce. The metal used in the automotive industry for emission-controlling catalytic converters is around two-year highs, but Commerzbank analyst Carsten Fritsch said recent car sales had disappointed.

"This points to lower demand for palladium if China and the US - the two leading demand markets - show continued weakness," he said in a note.