09:31 AM EDT, 09/12/2025 (MT Newswires) -- Gold edged higher early Friday, gaining ground on rate-cut expectations despite a higher dollar and two days of losses that followed Tuesday's record high.

Gold for December delivery was last seen up $4.80 at $3,678.40 per ounce.

The price of the metal has gained more than 8% over the past month and by nearly 4% this week as two mixed U.S. inflation reports failed to dent expectations the Federal Reserve will begin a new cycle of interest-rate cuts next week when its policy committee ends its meeting Wednesday afternoon. Lower interest rates cut the carrying cost of owning gold.

"The consolidation in the gold price hardly lasted any time at all," Saxo Bank said.

The dollar rebounded early from a Thursday drop, with the ICE dollar index last seen up 0.23 points at 97.76. Treasury yields were also higher, with the yield on the two-year note up 0.8 basis points to 3.56% and the 10-year note was paying 4.06%, up 3.0 points.