Gold prices rose more than 1% on Wednesday, rebounding from a ‌one-week low hit in the previous session, as investors awaited the minutes of the U.S. ​Federal Reserve's January meeting due later in the day.

Spot gold was up 1% at $4,927.19 per ​ounce by ​1240 GMT. U.S. gold futures for April delivery gained 0.9% to $4,947.70.

Prices falling below $4,900 "has created some opportunistic buying in the market," said Bernard Dahdah, an ⁠analyst at Natixis, adding that investors are positioning themselves ahead of the release of January's Fed minutes.

Bullion prices dropped to $4,841.74 per ounce on Tuesday, as a stronger U.S. dollar and easing tensions between the United States and Iran dampened demand ​for the ‌safe-haven, while many Asian ⁠markets were ⁠closed for the Lunar New Year.

Investors are also awaiting the U.S. Personal Consumption Expenditures report ​for December, due on Friday, for cues on ‌the Fed's monetary policy this year.

Markets currently expect the ⁠first interest rate cut in June, per CME's FedWatch Tool.

Chicago Fed President Austan Goolsbee on Tuesday signaled "several more" rate cuts this year if inflation resumes a decline to the 2% target, while Fed Governor Michael Barr said that another rate cut could come somewhere well down the road.

Non-yielding bullion tends to do well in low-interest-rate environments.

On the geopolitical front, Iran and the U.S. reached an understanding on Tuesday on "guiding principles" for nuclear talks. However, that ‌does not mean a deal is imminent, Iran's foreign minister ⁠said.

"Unless there are geopolitical reasons, we don't expect ​to see the same rally that we saw last year. So we see prices averaging around $4,850 this year," Dahdah said.

Spot silver rose 2.9% to $75.59 per ounce after declining ​more than ‌5% on Tuesday.

Spot platinum gained 1.9% to $2,045.13 per ounce ⁠and palladium added 1.7% to $1,711.25.

(Reporting by ​Pablo Sinha in Bengaluru; Editing by Alexander Smith and Diti Pujara)