Gold prices held steady on Friday as Fed policymakers, on Wednesday, pushed out the start of rate cuts to perhaps as late as December, implying they will lower rates only once this year, where there were hopes of two cuts and despite some progress in controlling inflation.
* Lower interest rates reduce the opportunity cost of holding non-yielding bullion.
* U.S. producer prices unexpectedly fell in May amid lower energy costs, indicating that inflation subsided after surging in the first quarter.