GDI is an alternate measure of economic growth, similar to gross domestic product, but with income rather than output as the yardstick. A gap between the two led Fed officials to worry that output might be weaker than thought, but the two converged when the estimate of GDI was increased.

Gold prices were hovering below recent record peaks on Tuesday after the U.S. Federal Reserve chair tempered expectations for more substantial interest rate cuts this year, with investors looking forward to a series of labour data this week for further insights.

Federal Reserve Chair Jerome Powell on Monday said the U.S. economy is in "solid shape" and that more interest rate cuts can continue if the economy continues to evolve as expected.