Gold extends gains to three-week high

Gold prices rose on Wednesday to a three-week high despite the drop in commodity prices, as the dollar stopped rising against a basket of currencies, reflecting sustained demand on the safe haven. 

Gold prices last traded at $1,250.0 an ounce, up from the opening of $1,245.6, with a session-high at $1,250.3, and a low at $1,243.9. 

Gold's rise comes despite dollar's recovery against an array of rivals after hitting a six-week trough, following a Fed official's statements expressing her desire to see more than three rate hikes this year.

The commodity markets are facing a selloff today after dollar stopped rising, heaping particular pressure on industrial commodities, but gold held its ground as a safe haven, hitting a three-week high.

Gold drew support from upward haven demand as global stocks skidded, and after the G20 meetings dropped the pledge to keep global trade free and open from the final statements, raising concerns about the future of trade and raising demand on gold.