Precious-Gold resumed its rebound on Monday from its lowest level in 5-1/2 years as the dollar dropped before a Fed two-day meeting that ends on Wednesday.
The yellow metal hit a high of $1104.91 an ounce, while it currently trading at $1103.92, after opening at $1099.26.
The dollar slipped against a basket of major currencies to hit a bottom of 96.47, falling from a high of 97.38, according to the dollar index.
While the U.S. economy is showing signs of progress, the Fed statement this week is likely to reiterate Yellen’s comments that the central bank is on course to raise its borrowing cost.
Investors will try gathering clues from Yellen’s remarks whether the interest rate hike would occur in September or later in the year.
Later in the day, U.S. core durable goods may show a 0.4 percent advance in June, following May’s flat reading.
Gold prices rebounded on Friday from a low of $1077 to close at $1099.06, where it continued its rise today as momentum indicators signaled the metal is oversold and may rebound.
Silver inched up to $14.73 an ounce after sagging to a low of 14.56, while it opened trading at 14.71.