Here are 10 things to know about current gold prices:
The rupee depreciated by as much as 57 paise to 72.04 against the dollar on Wednesday amid rising concerns over the US-China trade deal and the political unrest in Hong Kong.
"The lack of clarity from US President (Donald Trump) regarding the deal (US-China) raised uncertainty amongst investors, which attracted the safe-haven buying in gold," Mr Patel added.
Globally, gold prices rose on Wednesday. Spot gold was last seen trading 0.4 per cent up at $1,462.15 per ounce, while US gold futures were 0.7 per cent up at $1,463.30 per ounce.
Asian stocks and Wall Street futures fell as growing worries that trade talks are stalling and concern about intensifying unrest in Hong Kong hurt demand for risky assets.
US and Chinese negotiators were "close" to a "phase one" trade deal, US President Donald Trump said in Tuesday's speech to the Economic Club of New York, but offered no new details on negotiations.
Gold - considered a safe store of value during economic and political uncertainty - has risen about 14 per cent this year globally on concerns over the trade war and monetary policy easing by central banks.
In India, gold prices have remained near record levels for past few weeks, forcing many buyers to delay their purchases during the festival season which typically leads to higher demand for the precious metals.
Gold demand is expected to fall to its lowest level in three years in 2019 in India, the World Gold Council (WGC) said earlier this month, as domestic prices climb to a record against a backdrop of falling earnings in rural areas.
Gold demand in 2019 could drop 8 per cent from a year ago to around 700 tonnes, the lowest since 2016, said Somasundaram PR, the managing director of WGC's operations.
Meanwhile, domestic stock markets fell on Wednesday while investors awaited retail inflation data due later in the day. Benchmark indices S&P BSE Sensex and NSE Nifty ended 0.57 per cent and 0.61 per cent lower respectively.