SINGAPORE: Gold stuck to a narrow range in Asian trade on Wednesday ahead of release of minutes from the Federal Reserve policy meeting earlier this month amid expectations of an interest rate hike in December.

Bullish homes sales data has added to signs of an improved US economic outlook, with federal funds futures implying traders are pricing in a 100 pct chance of a December rate rise, according to the CME Group's FedWatch Tool.

Spot gold was unchanged at $1,212.45 an ounce by 0626 GMT. In the previous session, the metal eased 0.15 percent, hurt by strong equities.

US gold futures rose 0.1 percent to $1,212.40 per ounce.

Analysts cautioned that higher interest rates and a more positive sentiment in equity markets could weigh further on gold prices.

Gold is highly sensitive to rising rates, which lift the opportunity cost of holding non-yielding assets such as bullion, while boosting the dollar, in which it is priced.

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.42 percent to 904.91 tonnes on Tuesday. Holdings have dropped 4 percent so far this month.-Reuters