That said, there's reason to hope ahead for the metal: Rising tariff tensions and volatility in markets should help boost USA demand, while in emerging markets, we could see stronger physical investment in China and India, which are of course major players in the global market.
Spot gold was unchanged at $1,332.55 per ounce as of 0041 GMT, after falling 0.6 per cent in the previous session.
But Rotbart said that "the more intense the trade war becomes, we will see higher demand for gold".
As investors pulled out of gold, Asian equities rebounded from two-month lows with investors hoping a full-blown trade war between the world's two biggest economies can be averted.
Gold has struggled to break from a US$1,300-US$1,360 per ounce trading range since the start of the year.
Ahead of that, the prospect of further USA interest rate hikes, which boost the opportunity cost of holding non-yielding bullion, will likely keep a lid on gains, it said.
Gold prices edged lower on Tuesday, having surged in the previous session as falling U.S. stock markets and fears of a global trade war pushed investors towards safer assets.
Gold is often used as a safe place to park assets during times of financial or political uncertainty.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, were largely steady at 852.03 tonnes on Wednesday compared with 852.31 tonnes on Tuesday.
Meanwhile, spot silver inched down 0.1% to $16.27/oz.
Platinum dropped 0.3 per cent to US$926.60 an ounce, earlier hitting US$912, its lowest since Dec 26.
Palladium gained 0.3% to $927/oz after touching $913 on Wednesday, its weakest since early October.