Gold futures on the COMEX division of the New York Mercantile Exchange fell on Wednesday as the key U.S. dollar benchmark traded near the session's high.

The most active gold contract for December delivery fell 5.2 dollars, or 0.41 percent, to settle at 1277.70 dollars per ounce.

The U.S. dollar index, which measures the buck against six rivals, was trading near the day's high of 93.895.

Gold and the dollar often move inversely as a richer dollar dulls the appeal of investors using other currencies.

However, financial markets are also increasingly worried about the prospect of getting U.S. tax policy changed by year-end, injecting some uncertainty into stock trading, to the benefit of gold, which investors sought as a counter to risk-aversion.

As for other precious metals, silver for December delivery dropped 10.2 cents, or 0.6 percent, to close at 16.971 dollars per ounce. Platinum for next January went up 5.8 dollars, or 0.63 percent, to settle at 933.1 dollars per ounce.