Gold prices on Tuesday held near one-week lows touched in the previous session, pressured by a firmer dollar and as investor appetite for riskier assets improved in the wake of strong U.S. economic data.
Spot gold was steady at $1,313.95 per ounce at 0349 GMT. Prices in the last session fell to their lowest since Jan. 29 at $1,308.20.
U.S. gold futures dipped 0.1 percent to $1,318.40 an ounce.
Trading was muted in Asia with many markets closed for much of the week for Lunar New Year holidays.
"Gold fell overnight as bond yields ticked up and the dollar was also strong due to a risk-on environment," said Jeffrey Halley, senior market analyst, OANDA.
"There is strong technical support and the Fed is mostly dovish, which should see gold supported around the $1,300-area. The focus would be more on the U.S. earnings season due to the absence of China for the whole week."
The dollar held on to recent gains against its peers on Tuesday, supported by the recovery in investor risk appetite.
Spot gold rose to its highest since late April at $1,326.30, last week, after the U.S. Federal Reserve kept interest rates steady and said it would be patient on further hikes amid a suddenly cloudy outlook for the U.S. economy due to global growth concerns and the U.S.-China trade dispute.
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