Gold ended lower on Wednesday, retreating from earlier four-month highs, as a dollar rally and surging U.S. new home sales dented bullion's safe-haven appeal.
The metal has risen around 11 percent since the beginning of the year as investors have poured back in on worries about economic conditions in the United States and in China.
U.S. gold futures for April delivery settled 1.09 percent lower at $1,328 an ounce after the Commerce Department said home sales increased 9.6 percent in January to a seasonally adjusted annual rate of 468,000. That was the fastest pace since July 2008.
Spot gold touched $1,345.35, its highest since late October, before profit-taking pulled it to near $1,332, down 0.9 percent on the day. Despite recent gains, bullion remains well below an all-time high around $1,920 struck in 2011.