Spot gold rose as high as $933.10 an ounce and was quoted at $933.00/933.90 by 6:22 EST, against $927.50/928.20 late in New York on Monday. The metal has gained about 11 percent so far this year.
Platinum hit $1,735 an ounce as buying accelerated after a power crisis forced miners in South Africa to stop operations last week. Prices later eased on profit taking.
The dollar steadied against a basket of major currencies, with investors debating the likely size of a widely expected U.S. Federal Reserve interest rate cut this week and the chances of a U.S. recession.
The Fed lowered rates by 75 basis points last week, and is expected to cut again by as much as 50 basis points when its two-day scheduled meeting ends on Wednesday. Weaker-than-expected U.S. housing data on Monday backed the case for growth-boosting monetary easing.
A rate cut tends to weaken the dollar as investors look for alternative assets, including gold, for better returns. Bullion prices also often move in the opposite direction of the dollar.