Gold price rose on higher demand for safe-haven asset and on a weaker U.S. dollar.

Gains were limited by the Fed's interest rate hike. The Fed on Wednesday raised its interest rate to the range 0.25% - 0.50% from 0.00% - 0.25% as widely expected by analysts.

Gold is traded in U.S. dollars. It suffers when the U.S. dollar strengthens, becoming more expensive for holders of other currencies.

The U.S. services PMI data also supported gold price. Markit Economics released its preliminary services purchasing managers' index (PMI) for the U.S. on Friday. The U.S. preliminary services purchasing managers' index (PMI) dropped to 53.7 in December from 56.1 in November. It was the lowest level since December 2012.

January futures for gold on the COMEX today traded at 1063.00 dollars per ounce.