Gold prices edged up on Tuesday as Iran-Israel tensions boosted safe-haven demand but a stronger dollar capped gains, while silver surged to a 13-year high. Spot gold rose 0.2% to $3,390.59 an ounce as of 0151 pm EDT (1751 GMT).

Gold fluctuated as investors tracked an escalation of risk in the Middle East and digested weak US economic data.

Gold prices climbed sharply as tensions in the Middle East drove demand for safe assets. Softer U.S. inflation also boosted hopes for rate cuts, supporting gold's rally above $3,400.