Gold prices rebounded supported by buying deals ahead of the expected interest rate decision

Gold rose today, amid a demand for buying after the precious metal fell to its lowest level in three weeks during the previous session, as investors are now awaiting the decision of the Federal Reserve (the US central bank) regarding interest rates later in the day.

Gold increased in spot transactions by 0.7 percent, reaching $3,977.49 per ounce by 01:14 GMT, after falling yesterday, Tuesday, to its lowest level since October 7th.

US gold futures for December delivery rose 0.2 percent, recording $3,991.70 per ounce.

It is widely expected that the US Central Bank will cut interest rates at the end of its meeting today.

At the same time, the European Central Bank is expected to keep interest rates unchanged at its meeting tomorrow, Thursday.

On the trade level, the focus is on any developments in the talks between Washington and Beijing before US President Donald Trump and his Chinese counterpart Xi Jinping meet in South Korea tomorrow, Thursday.

Non-yielding gold thrives in an environment of low interest rates and during economic uncertainties.

Gold prices have risen by about 52 percent since the beginning of the year, reaching their highest levels ever at $4,381.21 on October 20, supported by geopolitical and economic uncertainty, bets on lowering interest rates, and continued central bank purchases.

At the same time, the dollar approached a one-week low against a group of major currencies ahead of the interest rate decision.

As for other precious metals, silver increased in spot transactions by 0.7 percent to $47.36 per ounce, platinum rose by 0.4 percent to $1,593, and palladium gained 1.7 percent, recording $1,417.22.