July 29 (Reuters) - Gold prices edged lower in early
trade on Tuesday, weighed down by easing concerns over a global
tariff war and a stronger U.S. dollar, while investors focussed
on the Federal Reserve policy meeting for interest rate clues.
FUNDAMENTALS
* Spot gold was down 0.2% at $3,308.39 per ounce, as
of 0024 GMT. Bullion hit its lowest level since July 9 in the
previous session.
* U.S. gold futures edged 0.1% lower to $3,306.20.
* Top U.S. and Chinese economic officials met in Stockholm
on Monday for more than five hours of talks aimed at resolving
longstanding economic disputes at the centre of a trade war
between the world's top two economies, seeking to extend a truce
by three months.
* The U.S. struck a framework trade agreement with the
European Union on Sunday, imposing a 15% import tariff on most
EU goods - half the threatened rate - and averting a bigger
trade war between the two allies that account for almost a third
of global trade.
* France denounced the agreement as "submission" on Monday,
while other EU nations supported it, despite its perceived
imbalance, to avoid a costly trade conflict with Washington.
* The U.S. dollar index held near a more than
one-week high, making gold costlier for buyers holding other
currencies.
* The Fed's two-day policy meeting begins later in the day,
with expectations widely pointing to rates being held steady.
* Markets see a 62% chance of a rate cut in September,
according to the CME FedWatch tool.
* U.S. President Donald Trump set a new deadline on Monday
of 10 or 12 days for Russia to make progress towards ending the
war in Ukraine or face consequences.
* Spot silver was down 0.1% at $38.12 per ounce,
while platinum gained 0.4% to $1,395.75 and palladium
fell 0.7% to $1,237.88.
DATA/EVENTS (GMT)
1000 France Unemployment Class-A SA June
1400 U.S. Consumer Confidence July
(Reporting by Anmol Choubey in Bengaluru; Editing by Subhranshu
Sahu)
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