Bullion is often used as a refuge in times of political or economic turbulence, while assets considered risky such as stocks are dumped.
North Korea said on Friday it might test a hydrogen bomb in the Pacific Ocean after Trump vowed to destroy the country, with leader Kim Jong Un promising to make a "mentally deranged" Trump pay dearly for his threats.
"Gold took quite a beating after the US Federal Reserve meeting but now the market got the news about North Korea and now investors are moving back in gold," Danske Bank analyst Jens Pedersen said.
Earlier this week, the Fed signalled it was still on track to raise interest rates by the end of the year. This weighed on gold as tighter monetary policy raises the opportunity cost of holding non-yielding bullion.