Spot gold rose on Tuesday after two days of losses, recovering from an early dive below $1,200 an ounce, as a retreat in stock markets from earlier highs boosted interest in the metal as a haven from risk.
European shares dipped 0.3 percent, even as oil prices gave up early gains after an agreement among four top producers to freeze output was judged unlikely to have a big impact on a global glut of crude.
Spot gold was up 0.12 percent at $1,210.80 an ounce. It earlier fell as low as $1,190.40, having shed 2.3 percent on Monday, its biggest one-day loss since mid-July.
Gold hit a one-year high of $1,260.60 last week as worries over the global economy prompted heavy selling of assets seen as higher risk, such as stocks and cyclical commodities.