Gold prices fell in early Asian trade on Tuesday .
Spot gold was down 0.5% at $1,417.11 per ounce as of 0120 GMT.
U.S. gold futures slipped 0.5% to $1,419.30 an ounce.
The dollar index gained 0.1% to a near one-week high, making gold expensive for holders of other currencies.
The U.S. central bank is widely expected to lower its interest rate target range of 2.25%-2.50% by 25 basis points at a meeting ending July 31, but expectations for a larger 50-basis point cut have waxed and waned due to mixed signals from Fed policymakers.
The global march towards lower interest rates reaches Europe this week with the European Central Bank expected at least to signal easier monetary policy.
Expectations of policy easing by major central banks such as the Fed propped up global stocks on Tuesday.
Meanwhile, Sterling was on the back foot on Tuesday as investors worried Boris Johnson, the front runner to become the UK’s next prime minister, would trigger a “hard Brexit” from the European Union.