PRECIOUS-Gold hits 3-week high on hopes US data will boost Fed rate cut bets

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Silver nears all-time peak hit on October 17

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Trump signs deal to end US government shutdown

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80% economists expect rate cut in December, Reuters poll shows

(Updates for AMERS morning hours)

By Anmol Choubey and Pablo Sinha

Nov 13 (Reuters) - Gold prices climbed to an over three-week high on Thursday, supported by expectations that U.S. economic data following the government's reopening could bolster the case for a Federal Reserve rate cut next month.

Spot gold gained 0.4% to $4,215.49 per ounce, as of 09:36 a.m. ET (1147 GMT), its highest since October 21. U.S. gold futures for December delivery rose 0.2% to $4,220 per ounce.

The reopening will allow government data to be released, which traders expect will reveal U.S. labor market weakness and push the Fed toward at least one December rate cut, said Jim Wyckoff, senior analyst at Kitco Metals.

Private surveys had indicated job market weakness.

The U.S. government will resume operations after a record 43-day shutdown, under an agreement funding federal operations through January 30.

While the Fed reduced interest rates last month, Chair Jerome Powell cautioned on further easing this year, partly due to a lack of data.

A Reuters poll showed 80% of economists expect another 25 basis-point cut at the next meeting.

Lower interest rates typically benefit gold, which offers no yield and is often seen as a safe-haven asset during periods of economic uncertainty.

Gold's correlation with core macro drivers like the dollar and real yields has weakened notably over the past two weeks, reflecting a shift toward structural themes such as currency debasement and U.S. debt concerns, Standard Chartered said in a note.

Elsewhere, spot silver edged down 0.2% to $53.33 per ounce, after scaling to its highest level since October 17 earlier in the session.

"If silver doesn't break higher decisively, we could see another round of profit-taking - expect volatility to remain high in the near-term," said Tai Wong, an independent metals trader.

Platinum was down 1.3% at $1,593.87 and palladium fell 1% to $1,452.50.

(Reporting by Anmol Choubey, Pablo Sinha and Noel John in Bengaluru; Editing by Sahal Muhammed)