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Gold prices held steady on Tuesday, helped by dollar weakness as the U.S.-Mexico trade deal helped boost optimism for an easing of global trade tensions, which have been building up for months now.

Spot gold was up 0.41 percent at $1,213.90 after hitting its highest level in two weeks the previous day. U.S. gold futures were up 0.33 percent at $1,220 an ounce, with lingering worries over the U.S.-China trade conflict keeping a lid on prices.

Gold prices have fallen more than 7 percent this year, but there has been some recent upward momentum after the precious metal touched 1-1/2-year lows on Aug. 16 amid the Turkish currency crisis and on expectations of higher U.S. interest rates.