- Gold prices rose slightly during Asian trading on Wednesday, continuing the small gains made in the previous session, as demand for safe-havens remained supported by expectations of increased U.S. trade tariffs.

- However, gold was unable to build larger gains due to the resilience of the U.S. dollar, while easing tensions in the Middle East also contributed to reducing demand for safe-havens.

- Spot gold rose by 0.3% to $2,040.16 per ounce, while February gold futures increased by 0.7% to $2,665.41 per ounce.

- U.S. President-elect Donald Trump threatened to impose additional tariffs on China, Canada, and Mexico when he takes office, fueling concerns over a renewed trade war between the world's largest economies.

- Any sharp increase in tariffs could negatively impact global economic growth, as well as drive U.S. inflation higher, which would strengthen expectations for long-term interest rate hikes.

- Demand for gold as a traditional safe-haven asset also declined after U.S. President Joe Biden announced a ceasefire agreement in the Middle East, easing tensions and the ongoing conflict in the region.

- On the other hand, silver futures rose by 0.4% to $30.962 per ounce, while platinum futures increased to $932.05 per ounce.

- Analysts at Bank of America recently warned that Trump’s economic policies, expected to support U.S. economic growth and a stronger dollar, may dampen investor appetite for gold.

- Trump may implement further corporate tax cuts and expansionary economic policies during his second term, which would support economic growth but also drive inflation higher. This scenario would likely keep U.S. interest rates relatively high in the long term, thereby supporting the dollar and Treasury yields while limiting demand for gold.

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