Celtic sit top of the league table having won all three of their matches so far, and are favourites for the contest, though Rangers would leapfrog their Glasgow rivals with a win.
Here is everything you need to know about the much anticipated fixture.
Kick-off time: 12noon
Where to watch: Sky Sports 2
Probable Celtic team (4-2-3-1): De Vries; Lustig, Toure, Sviatchenko, Tierney; Brown, McGregor; Roberts, Rogic, Sinclair; Dembele. Subs from: Gordon, Bailly, O’Connell, Izaguirre, Gamboa, Ambrose, Bitton, Forrest, Armstrong, Christie, Ciftci.
Team news: Leigh Griffiths is a doubt as he recovers from a hamstring injury which kept him out of last week’s Scotland squad. Kieran Tierney (ankle) is expected to return. New signing Cristian Gamboa could make his debut.
Probable Rangers team (4-3-3): Foderingham; Tavernier, Kiernan, Senderos, Wallace; Halliday, Rossiter, Barton; Forrester, Miller, McKay. Subs from: Gilks, Wilson, Hill, Hodson, Holt, Windass, O’Halloran, Kranjcar, Garner, Waghorn.
Team news: Danny Wilson is tough-and-go with a calf injury, though Lee Wallace has been declared fit. Martyn Waghorn, Jason Holt and Josh Windass all return to the squad after a period out through injury. Matt Crooks and Joe Dodoo (both ankle) are definitely out. Philippe Senderos is in line to make his debut.
Referee: Willie Collum
Key Celtic player: Scott Brown will be key to winning the midfield battle. He struggled against Rangers in April but is in much better form now.
Key Rangers player: Joey Barton needs to start showing the kind of form which had onlookers calling his summer switch from Burnley a transfer “coup”.
Last five meetings: Rangers 2 - 2 Celtic (Rangers won on penalties); Celtic 2 - 0 Rangers; Celtic 3 - 0 Rangers; Rangers 3 - 2 Celtic; Celtic 1 - 0 Rangers.
Odds: Celtic 8/13, Draw 3/1, Rangers 4/1 (odds from BoyleSports)
What Celtic are saying: “When you are Celtic and you play every game, especially at home, (winning) is what is expected of you.It’s a huge game, a big game, but one that we want to win, like every game at Celtic Park. More importantly, the way the team is playing, the energy and ambition of the team has given the supporters something to be proud of so far and, as I said, the atmosphere will be incredible.” (Brendan Rodgers)
What Rangers are saying: “All I have read is that we are massive underdogs. If you read the media and listen to ex-players and ex-managers, there is no point in us turning up, which is fine. As far as we are concerned, we have our own thoughts in our dressing room which will stay private. It is not about bookies’ odds, it is not about comments or opinions about us, it’s about going out and producing a performance.” (Mark Warburton)