Spot gold was up 0.4 percent at $1,202.51 per ounce at 12:20 p.m. EST (1720 GMT). Prices had slipped to their lowest since Oct. 11 at $1,195.90 in the previous session. US gold futures gained 0.2 percent to $1,203.30 per ounce.
Gold was helped by a slight retreat in the dollar index, which measures the greenback against a basket of major currencies.
"The key driver in the near term continues to be currency movements," said Suki Cooper, precious metals analyst at Standard Chartered Bank.
Factors including increased buying by central banks, the return of interest amongst exchange-traded fund (ETF) investors and seasonal demand for physical gold "are acting as a cushion to the downside," she added.
Holdings of the world's largest gold-backed ETF, SPDR Gold Trust, remained near their highest level in more than two months.
Concerns about a possible slowdown in global economic growth, exacerbated by disappointing data from Germany, weighed on stock markets, but that hardly impacted gold, which is considered a safe store of value during times of political or economic uncertainty.
Bullion has fallen about 12 percent from a peak in April as investors instead flocked to the dollar, with US-China trade friction unfolding against a background of higher US interest rates.
Among other precious metals, silver rose 0.4 percent to $14.04 per ounce, after earlier hitting $13.85 - its lowest since Jan. 21, 2016.
Palladium rose about 1.5 percent to $1,126.70 per ounce, while platinum was down 0.6 percent at $829.10 an ounce.