The metal has gained nearly 2% so far this week, on track for a second consecutive weekly gain
While Chinese officials continue to downplay the likelihood of more aggressive easing, the economy has been slow to respond to a host of earlier stimulus measures
Yields on two-year US Treasuries previously jumped to 1.87% from 1.76%
Donald Trump repeats his criticism of Jerome Powell's actions as Federal Reserve chairman.
Like it or not, its next move will be political
The Fed officials have lowered inflation projection from 1.8 per cent to 1.5 per cent for the year and they also expect to miss their 2 per cent target next year as well.
Trump said on Twitter, 'the Fed should cut its key overnight lending rate by a full per centage point'
In the comic book world, though, the Fed is no Wonder Woman
Central banks in Indonesia and the Philippines -- among the most aggressive rate hikers last year -- kept policy on hold on Thursday
Three months ago, the Fed was still signaling several rate hikes this year
On the balance sheet, Jerome Powell said the normalisation process will be completed "sooner and with a larger balance sheet" than previous estimates
US President Donald Trump blasted the Fed on Monday as the US economy's 'only problem'.
The stock market is in steep retreat as investor nerves grow over the fallout from Trump's erratic style and his trade war with China
Williams endorsed the rate-hike projections, saying "something like two rate increases" next year "would make sense in the context of a really strong economy moving forward"
In its decision on Wednesday, the Fed raised benchmark overnight lending rates by 0.25 per cent to a range of 2.25 to 2.50 per cent
Fed's policy statement says some further gradual rate increases are likely. But its updated forecast projects just two rate hikes next year, down from three that the Fed had predicted in September
Many economists also see the Fed increasing rates next year, although at a slower pace in the face of a possible economic recession
The statement overall reflected little change in the Fed's outlook for the economy since its last policy meeting in September
Central bankers face a choice about whether to proceed with increases after a short delay and risk harming their economies or pause for a more prolonged period
US Fed has made RBI's job tougher