02:00 PM EDT, 09/17/2025 (MT Newswires) -- (Updates prices.)

Gold moved down from a record high midafternoon Wednesday ahead of the Federal Reserve's expected cut to interest rate, the first this year.

Gold for December delivery was last seen down US$7.50 to US$3,717.60 per ounce, falling off Tuesday's record high.

The price of the precious metal has climbed 10% over the past month as traders anticipate an expected 25 basis point cut to U.S. interest rates when the Federal Open Market Committee ends its meeting at 2:00 p.m eastern time.

While lower interest rates cut the carrying cost of owning gold, strong physical demand is also offering support.

"Traders remain relaxed about the risk of a short-term "sell the fact" reaction, with the prospect of lower funding costs and strong ETF and Asian demand underpinning prices," Saxo Bank noted.

The dollar rose ahead of the Fed's decision, with the ICE dollar index last seen up 0.1 points to 96.73. Treasury yields also rose, with the U.S. two-year note last seen up 3.9 basis points to 3.551%, while the 10-year note was paying 4.048%, up 1.3 point.