PRECIOUS-Gold prices buoyed by fall in U.S. bond yields

       * U.S. bans new imports of Russian gold
    * 10-year U.S. Treasury yields snap three-session winning
streak

 (Adds comments and details, updates prices)
    By Bharat Gautam
    June 29 (Reuters) - Gold prices treaded water on Wednesday,
with lower U.S. Treasury yields lending support, as bullion
struggled to break out of range-bound trading.
    Spot gold        was up 0.1% at $1,821.53 per ounce by 0550
GMT. U.S. gold futures        firmed 0.1% at $1,822.10.
    Helping the appeal of non-yielding bullion, benchmark U.S.
10-year Treasury yields fell on Wednesday after three straight
sessions of gains.
    "Overall, the outlook for interest rates means that when we
do get a breakout of this trading zone we've been stuck in now
for a couple of months, it's more likely to be to the downside,"
said Michael McCarthy, chief strategy officer at Tiger Brokers,
Australia.
    Higher short-term U.S. interest rates and bond yields raise
the opportunity cost of holding bullion, which yields no
interest.
    "Rising interest rates and a stronger U.S. dollar are acting
against inflation-hedging forces. So we've got balance in the
gold market at the moment," McCarthy said.
    The U.S. dollar        rose 0.1%, making gold more expensive
for buyers holding other currencies.
    "The investment world is increasingly alarmed at the
deterioration of the global economic climate and this has led to
severe bouts of de-leveraging across many markets, including
gold," said Clifford Bennett, chief economist at ACY Securities.

    "However, just as we have seen in the case of black gold
(oil), these sell-offs can represent excellent long-term
investment opportunities. And perhaps more importantly, a
valuable safe-haven trade."
    Earlier, the United States banned new imports of Russian
gold, acting on commitments made by the Group of Seven leaders
this week to further punish Russia over its invasion of
Ukraine.
    The move, however, is being seen as symbolic, as gold
exports from Russia to the West have already dried up.

    Spot silver        dipped 0.1% to $20.81 per ounce, while
platinum        rose 0.9% to $918.32, and palladium
gained 2% to $1,911.72.


 (Reporting by Bharat Govind Gautam in Bengaluru; Editing by
Rashmi Aich and Amy Caren Daniel)