PRECIOUS-Gold surges over 2% on geopolitical jitters despite Fed rate-path split

(Recasts throughout after FOMC minutes release)

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Fed minutes show division, talk of rate hikes

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Gold rebounds from one-week low

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December PCE data due on Friday

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Silver rises more than 5%

By Anmol Choubey

Feb 18 (Reuters) - Gold rose more than 2% on Wednesday, as ?investors assessed simmering geopolitical risks, even as minutes from ?the U.S. Federal Reserve's January meeting showed officials divided over whether interest rates may need to be hiked again ?or should remain on hold.

Spot gold was up 2.4% at $4,992.11 per ounce ?by 02:18 p.m. ET (1918 GMT). Bullion prices had fallen more than ?2% to $4,841.74 on ?Tuesday, hitting their lowest in a week.

U.S. gold futures for April delivery settled 2.1% higher at $5,009.50.

"There is some ?nervousness about the existing geopolitical tensions both with ?Iran and the U.S.," said Marex analyst Edward Meir.

However, "we've been in a very tight trading range for much of February. You can't really ?say there's a clear direction at this ?point." On the ?geopolitical front, two days of peace talks in Geneva between Ukraine and Russia ended on Wednesday without a breakthrough. The White House also said discussions with ?Iran in Geneva made only limited progress, with gaps remaining and Tehran expected to ?return with more details in the coming weeks. Minutes from the Fed's January meeting showed officials were nearly unanimous in keeping rates steady last month, but remained divided on the outlook, with several warning that rates could rise again if inflation stays high, ?while ?others debated whether and when further cuts might be needed.

Gold is "likely ?to retake $5,000 despite Fed minutes that were slightly hawkish; the vast majority of the ?market doesn't see an interest move until June," said Tai Wong, an independent metals trader. Meanwhile, consumer price inflation for January was weaker than expected, yet job growth for the month beat expectations and the unemployment rate fell.

Investors will also keep an eye on Friday's U.S. personal consumption expenditure report, the Fed's preferred inflation gauge, for clues on inflation and its potential impact on borrowing costs.

Non-yielding ?gold, a traditional safe-haven asset, tends to benefit in low-interest-rate environments.

Meanwhile, spot silver rose 5.2% to $77.24 per ounce after declining more than 4% on Tuesday.

Spot platinum gained 3.5% at $2,078.28 ?per ounce, while palladium rose 1.2% ?to $1,702.75. (Reporting by Anmol Choubey in Bengaluru; Editing by Shreya Biswas, ?Diti Pujara and Jonathan Ananda)