Gold edged lower on Tuesday as equity markets bounced back and the US dollar strengthened, hinting that investors viewed Democrat Hillary Clinton as the winner of her first US presidential debate with Republican Donald Trump.

Spot gold was down 0.2 percent at $1,335.46 an ounce by 0249 GMT.

US gold futures eased 0.4 percent to $1,339.20 an ounce.

Asian shares recouped losses from earlier on Tuesday and the dollar edged away from a one-month trough against the yen.

Markets have tended to see Clinton as the candidate of the status quo, while few are sure what a Trump presidency might mean for US foreign policy, trade and the domestic economy.

"The debates have the potential to boost market volatility in coming weeks, including gold," said HSBC analyst James Steel.

The dollar index, which measures the greenback against a basket of six major currencies, was up 0.1 percent at 95.354.

A stronger greenback makes dollar-denominated gold more expensive for holders of other currencies.

"The current $1,330-$1,342 range is still in play and participants will be looking closely at the results of the first US presidential debate for direction," MKS PAMP Group trader Sam Laughlin said in a note earlier in the day.

The Federal Reserve will seek significantly more capital from the largest US banks and give some relief to smaller lenders as it updates its annual stress test, Fed Governor Daniel Tarullo said on Monday.

Elsewhere, Russia and Kazakhstan continued to boost their gold reserves in August, data from the International Monetary Fund showed on Monday.

Silver fell 0.2 percent to $19.39 an ounce.

Platinum was down 0.1 percent at $1,034.75, while palladium fell 0.2 percent to $691.72 per ounce.