Gold futures advanced from its previous loss, surpassing $1,250 per ounce. The yellow metal futures for August delivery jumped to 0.96% trading at $1,255.44 per ounce as of 7:28 GMT, while the silver futures for September delivery gained 2.54% to $19.79 per ounce and the same time.
Earlier, the precious metal dropped, opening at a negative territory. However, the gold futures picked up at the early hours of the European trading session at $1,248 an ounce.
After the announcement the Federal Reserve made regarding possible cut to its $85 billion bond-buying monthly program, investors are concerned the precious metal may weaken and loose its safe-haven status.
In the previous week, gold fell steeply, losing more than 7%. While on Friday, the precious metal reached its three-year low of $1,182.85 an ounce.
The Shanghai Gold benchmark contract has surpassed 14,000 kilograms, after an all-time high of 43,272 kilograms on April 22, while the SPDR Gold Trust, lowered to 964.69 metric tons on Tuesday.
Gold may be heading to its worst quarterly performance in over 90 years, after losing 25% in its second quarter so far, according to data released from the US central bank. The Goldman Sachs predicted that gold may reach $1,050 an ounce by next year, while the Credit Suisse Group predicted prices will drop to $1,150 an ounce next year.
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