Gold Rises From Its Lowest Level in a Week

Gold prices rose on Wednesday, but moves were limited as markets looked ahead to the upcoming Federal Reserve meeting as it is widely expected to raise interest rates in an attempt to contain rising inflation.

Gold in spot transactions rose 0.2 percent to $ 1817.90 an ounce by 1217 GMT, and US gold futures increased 0.1 percent to $ 1810.80.

Asian and European stock prices fell, helping gold to rise from its lowest level in a week of $ 1805 an ounce hit on Tuesday.

The dollar index consolidated near its highest level in a week, affected by the rise in US bond yields to their highest level in two years. Usually, higher bond yields affect the appetite for buying gold, which does not yield a return.

As for other precious metals, the price of silver in spot transactions jumped 1.3 percent to $23.79 an ounce, platinum rose 1.4 percent to $994.22, and palladium rose 0.7 percent to $1909.85.