Gold futures on the COMEX division of the New York Mercantile Exchange settled lower on Wednesday amid a firm U.S. dollar.

The most active gold contract for August delivery fell 4.1 dollars, or 0.32 percent, to close at 1274.50 dollars per ounce.

The dollar stayed firm on Wednesday. The U.S. dollar index, a gauge of the greenback against a basket of other major currencies, kept around 95.

A strong dollar makes precious metals more expensive for buyers using other currencies.

Meanwhile, the benchmark 10-year U.S. Treasury yields rose to 2.932 percent, further reduced the appetite for gold, said analysts.

Additional pressure came from the stock markets in New York, as equities gradually reversed the downturn and started to post gains after a sharp fall during the previous session due to escalating trade tensions between the U.S. and China.

As for other precious metals, silver for July delivery fell 1.4 cents, or 0.09 percent, to close at 16.309 dollars per ounce. Platinum for July was up 9.2 dollars, or 1.06 percent, to settle at 874.10 dollars per ounce.