Gold prices fell on Friday and were on track for a weekly decline, as an overall stronger dollar and the prospect of fewer U.S. interest rate cuts offset support from rising geopolitical risks in the Middle East.

The Federal Open Market Committee (FOMC) announced its decision to hold the federal funds rate steady within a target range of 4-1/4 to 4-1/2 percent.

Gold price holds firm near $3,390 as the Federal Reserve decided to hold rates unchanged at the June 18 meeting. The Summary of Economic Projections (SEP) reveals that officials are still eyeing 50 basis points of easing in 2025. At the time of writing, the XAU/USD trades with minimal losses of 0.08%.