2018.11.1306:21:00UTC+00Gold Hovers Near One-month Low As Dollar Gains

Gold prices were slightly lower on Tuesday as the dollar held near a 16-month high versus a basket of peers amid political uncertainties in Europe.

Spot gold dropped 0.27 percent to $1,198.07, while U.S. gold futures were down 0.27 percent at $1,198.10 per ounce.

Today is the deadline for Italy to submit a revised 2019 budget to the European Commission in line with EU rules after a showdown with Brussels over the government's spending plans.

Brexit has become another source of uncertainty for Europe, with British Prime Minister Theresa May saying there were still considerable unresolved issues with the European Union.

Easing of global trade tensions also weighed on gold prices. U.S. Treasury Secretary Steven Mnuchin has resumed discussions with his Chinese counterpart, Vice Premier Liu He, signaling a willingness on both sides to reach an accommodation, the Wall Street Journal reported.