AKIPRESS.COM - Gold bounced on Wednesday from its weakest level since mid-February but signs of a recovery in the U.S. economy and an absence of support from the physical sector could limit gains and keep prices in a tight range, Trade Arabia reported.

In a sign of tepid physical demand, premiums for gold bars in Asia were little changed at between 25 cents to $1 an ounce to the spot London prices this week, partly due to concerns that a weak yuan could hurt demand from main consumer China.

Gold rose 0.2%, or $2.11 an ounce, to $1,312.55 by 0329 GMT. It fell to $1,305.59 an ounce on Tuesday, its lowest since February 14, before recovering.

Gold has fallen from a six-month high of $1,391.76 hit early last week after U.S. Federal Reserve Chief Janet Yellen suggested interest rates could rise sooner than many had expected, denting bullion's appeal as a hedge against inflation.

U.S. gold, which often influences spot gold, was at $1,313.10 an ounce, up $1.70.