Gold futures on the COMEX division of the New York Mercantile Exchange rose Wednesday as the World Bank cut its global growth forecast.
The most active gold contract for August delivery rose 1.1 dollars, or 0.09 percent, to settle at 1,261.2 dollars per ounce.
The precious metal settled higher for the third day in a row as the World Bank cut the global growth forecast to 2.8 percent for the year. In January the bank projected a growth of 3.2 percent, based on a harsh winter in the U.S. and geopolitical tension in Ukraine.
Stock markets in Europe, Asia and the U.S. dropped following the cut to global growth forecast, boosting gold's safe-haven appeal.
Market analysts believe that the market is quiet because investors are turning their attention to FIFA World Cup in Brazil, which starts Thursday.
Silver for July delivery gained 0.4 cents, or 0.02 percent, to close at 19.172 dollars per ounce. Platinum for July delivery lost 1.1 dollars, or 0.07 percent, to close at 1,481.1 dollars per ounce.