Gold climbed on Wednesday as concerns over an economic slowdown helped prices tally a fourth straight session gain.
"With overall [economic] risks tilted to the downside, the gloomy outlook has sparked immediate responses in safe haven assets, with gold finding comfort above the $1,300 mark," wrote Lukman Otunuga, research analyst at FXTM, in a Wednesday research note.
The European Central Bank on Wednesday remained downbeat on the economic outlook for the eurozone. It also made no changes to monetary policy, and repeated plans to hold key interest rates unchanged at least through the end of the year.
Read: ECB chief Draghi doesn't want to dissuade investors from thinking dovish thoughts
The news followed the International Monetary Fund's reduction Tuesday to its outlook for global economic growth-the third cut in six months.
June gold GCM9, +0.24% on Comex climbed by $5.60, or 0.4%, to settle at $1,313.90 an ounce, the highest settlement for a most-active contract since March 26, according to FactSet data. The precious metal scored a fourth straight advance, marking the commodity's longest win streak since a five-session rise ended Jan. 31.
In electronic trading Wednesday after the settlement, prices moved lower following the release of the minutes of the Federal Open Market Committee's March monetary policy meeting.
"The FOMC minutes merely confirmed the market's understanding of the Fed's current stance on future rate hikes, or the absence thereof," said Brien Lundin, editor of Gold Newsletter.
The minutes showed that the Federal Reserve's decision in March to cease raising interest rates this year was driven by unease over the U.S. and global economies and surprisingly subdued inflation. In electronic trading shortly after the release, June gold was at $1,311.90 an ounce.
Similarly echoing a downbeat view on the economy, ECB President Mario Draghi said earlier Wednesday during a news conference that officials now acknowledge that the economic slowdown will continue this year, in part because of the uncertainty facing businesses as a result of U.S. threats to raise tariffs on automobiles and other imports from Europe.
Meanwhile, U.K. Prime Minister Theresa May is meeting with European officials in an attempt to push the Brexit deadline to June 30.
On the data front, the U.S. consumer-price index jumped 0.4% in March to mark the biggest rise in 14 months. Over the past year, the cost of living has increased 1.9%, up from 1.5% in February.
Gold is sometimes viewed as a hedge against rising inflation, however that economic measure has been sluggish inside and outside the U.S.
"Even though monthly CPI inflation rose, year-on-year rates remained modest," said Jason Schenker, president of Prestige Economics, in a note. "Total CPI is still below the Fed's 2% target and core CPI is at the Fed's 2% target...Today's CPI report supports our view that the Fed is unlikely to raise rates this year." Precious metals tend to draw buying in a low interest-rate climate.
Read: Goldilocks economy? No, but steady job gains, low inflation to keep recession at bay
Elsewhere on Comex, May silver SIK9, +0.42% edged up by 0.2%, to $15.244 an ounce and May copper HGK9, +0.40% fell 0.3% at $2.926 a pound. July platinum PLN9, +0.67% settled 1.1% higher at $908.90 an ounce, while June palladiumPAM9, +0.78% shed less than 0.05% to end at $1,363.20 an ounce.
Among the exchange-traded funds, SPDR Gold Shares GLD, -1.28% added 0.4% in Wednesday dealings, while the VanEck Vectors Gold Miners ETF GDX, -1.64% traded up 0.3%.
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