Gold prices rose for the fourth day, supported by the weakness of the dollar

Gold rose for the fourth day in a row today, supported by the decline in the dollar and expectations that the end of the government shutdown in the United States and the flow of economic data will reinforce bets on lowering US interest rates next month.

Gold in spot transactions increased 0.4 percent to $4,142.70 per ounce by 0012 GMT, after recording its highest level since October 23 yesterday, Tuesday.

US gold futures for December delivery rose 0.8 percent to $4,149.20 an ounce.

On Monday, the US Senate approved a settlement that would end the longest government shutdown in US history, putting an end to the weeks-long stalemate that has disrupted food aid to millions of citizens, left hundreds of thousands of government employees without salaries, and disrupted air traffic.

This agreement still needs the approval of the House of Representatives, whose Speaker, Mike Johnson, said he wants to vote on it as soon as possible today.

The agreement will then be sent to US President Donald Trump to sign it into law.

The CME Group’s Fed Watch tool shows that traders now expect, by 68 percent, that the Federal Reserve (the US central bank) will cut interest rates by 25 basis points next month.

Gold, which does not generate a yield, usually benefits from a low interest rate environment and economic uncertainties.

Meanwhile, the dollar index fell for the fifth straight session, making gold more attractive to holders of other currencies.

Federal Reserve Board member Stephen Meiran said on Monday that a 50 basis point cut would be appropriate in December, citing declining inflation and high unemployment.

As for other precious metals, silver rose in spot transactions 0.1 percent to $51.29 per ounce, platinum fell 0.1 percent to $1,583.10, while palladium settled at $1,443.56.