Gold is currently at $1,102.00 (+0.52%). The precious metal climbed as U.S. consumer price inflation faded decreasing chances for a Federal Reserve's rate hike in March. Economists surveyed by Reuters now expect the Fed to raise interest rates three times this year rather than four.

Gold gained amid a softer dollar even after stocks rallied.

According to U.S. Commodity Futures Trading Commission, the net-long position in gold futures and options rose to 1,934 contracts in the week ending January 19 from 902 in the previous week.