Spot gold rose to $461.00/461.50 an ounce in trade from $459.50/460.25 an ounce last quoted in New York, and off a 5-week low of $457.50 hit on Tuesday.
Gold looked volatile after fund selling hit precious metals in New York and London ahead of a much-anticipated rise in US interest rates. The metal's trading range was seen between $460 to $468.50 but key support was pegged around $455.50.
The euro was higher than late New York levels at around $1.2024. The Federal Reserve raised rates by an anticipated quarter percentage point for the 12th straight time to 4 percent on Tuesday, placing the benchmark interest rate at its highest level in more than four years.
The central bank hinted it would continue with measured rate rises a move which could further boost the dollar and makes dollar-priced gold less attractive to investors.
But some bullion dealers said lower prices would attract fresh demand from jewellery manufacturers and help cushion the market. "We are still at a point in the calendar where physical demand, whether we like or not, still has to bid up.
But the fundamentals are there to support it," said one dealer in Sydney. Precious metals constancy GFMS has said gold fabrication was forecast to rise 6.8 percent, or 200 tonnes, in 2005 to a four-year high, thanks to good economic growth from consuming countries.
Other precious metals were mixed, with thinly traded palladium falling to $218/222 an ounce from $219/223 late in New York.
Platinum fell to a 1-month low of $913 an ounce before rebounding to $925/929.00 an ounce. That compared with $923/927 an ounce in New York. Silver inched up to $7.46/7.48 an ounce versus $7.43/7.46 in the US market.