Gold rose as tensions over North Korea fuelled safe-haven demand, while doubts about US President Donald Trump's ability to enact pro-business policies weakened the dollar.
Investors are also wary of any flare-up of tensions between North Korea and United States as U.S. troops and South Korean forces started a joint exercise.
Speculators hiked their net-long position in COMEX gold futures and options for a fifth straight week in the week to Aug. 15, U.S. CFTC data showed.
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