- Gold prices steadied near record levels in Asian trading on Wednesday, recovering some recent losses as traders continued to bet on the Federal Reserve implementing larger interest rate cuts.

- The yellow metal hit record levels in September, but since then has remained in a low to mid-range between $2,600 and $2,700 per ounce, as traders priced in a slower pace of rate cuts from the Fed. The dollar reached a two-month high based on this assumption, which pressured metal markets.

- However, markets maintained their bets on a gradual decline in U.S. interest rates, allowing for further upside for metals and non-yielding assets, which kept gold close to recent peaks.

- Spot gold rose by 0.2% to $2,667.072 per ounce, while December gold futures increased by 0.2% to $2,683.95 per ounce. Spot gold prices reached $2,685.96 per ounce in late September.

- Fears of worsening geopolitical conditions in the Middle East spurred some demand for gold as a traditional safe haven.

- Gold has achieved impressive gains so far this year, having recorded a series of record highs on bets that U.S. interest rates will eventually fall.

- Traders see a 91.1% chance that the Federal Reserve will cut rates by 25 basis points in November, according to the CME Fedwatch index, which is a smaller cut than the 50 basis points reduction seen in September. Traders were also pricing in a smaller chance that rates would remain unchanged.

- On the other hand, the dollar retreated from the highs it had reached in the past two months, leading to a 0.9% increase in platinum futures to $1,005.30 per ounce, and a 0.2% rise in silver futures to $31.812 per ounce.
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