09:33 AM EDT, 03/20/2025 (MT Newswires) -- Gold traded at yet another record high early on Thursday even as the dollar rose following the Federal Reserve's day-prior decision to hold interest rates steady as safe-haven buying continues to support the metal on growth worries.

Gold for April delivery was last seen up US$8.00 to US$3,049.20 per ounce, rising for an eighth-straight session and sticking above the US$3,000 mark for a fifth day.

The Federal Open Market Committee (FOMC) ended its two-day meeting on Wednesday leaving interest rates unchanged while predicting it will cut rates two times this year, even as it warned U.S. President Donald Trump's trade wars are likely to boost inflation and slow growth, lowering its outlook for economic growth this year to 1.7%, down from its earlier forecast for a rise of 2.1%.

"The FOMC's projected slower US growth and higher tariff-related inflation, raising the fear of stagflation," Saxo Bank noted.

The dollar rose, usually a bearish note for commodities priced in the currency. The ICE dollar index was last seen up 0.55 points to 103.99. However falling treasury yields offered an offset to the rising greenback, lowering the carrying cost of owning the metal. The U.S. two-year note was last seen paying 3.93%, down 6.3 basis points, while the yield on the 10-year note was down 5.8 points to 4.179%.