Spot gold rose 0.1% to $ 1,870 an ounce at 0044 GMT, after hitting its highest level since January 29 at $ 1,874.80 in the previous session. US gold futures rose 0.1% to $ 1,869.60 an ounce.
The dollar index has held close to an almost three-month low against its rivals, making gold cheaper for other currency holders.
Market participants are awaiting the release of the minutes from the April 27-28 Fed policy meeting at 6:00 p.m. GMT for further clarity on the economic recovery and policymakers’ perspective on inflation.
Data on Tuesday showed US residential construction fell more than expected in April, likely dragged down by soaring prices for lumber and other materials.
Concerns about rising inflation have intensified, with consumer prices in the United States rising 4.2% in April from a year earlier, the fastest rise in more than a decade .
The US central bank has pledged to keep interest rates low until the economy reaches full employment, and Fed officials have repeatedly said they expect the rate to rise. short-lived inflation.
World powers, including the United States, have called for a truce in the conflict as Israel bombed Gaza with airstrikes and Palestinian militants resumed cross-border rocket fire on Tuesday.
Palladium gained 0.2% to $ 2,907.09 an ounce, silver was down 0.2% to $ 28.15, while platinum edged up 0.2% to 1,220.50 $.