Beirut: Gold prices rose on Thursday after briefly touching a more than one-month low, as a softer dollar offered support, but gains were capped by a hawkish Federal Reserve, which has limited hopes for near-term rate cuts.

According to National Nws Aency - Lebanon, spot gold added 0.8% to $4,856.82 per ounce as of 0115 GMT, following a dip to its lowest since February 6 earlier in the day. The price of gold experienced a significant drop of 3.7% on Wednesday, highlighting the volatility in the market.

The fluctuations in gold prices are attributed to the dynamics between the weaker dollar and the Federal Reserve's firm stance on interest rates. The softer dollar typically makes gold more attractive to holders of other currencies, thereby increasing its price. However, the Federal Reserve's hawkish outlook has dampened expectations for immediate rate cuts, which has restrained further gains in gold prices.