May 22 (Reuters) - Gold steadied on Wednesday after falling
to a more than two-week low in the previous session, as a
stronger dollar dented demand for bullion ahead of the release
of minutes from the U.S. Federal Reserve's latest meeting.
FUNDAMENTALS
* Spot gold XAU= edged down 0.1% to $1,273.96 per ounce at
0114 GMT. In the previous session the metal fell to $1,268.97,
its lowest since May 3.
* U.S. gold futures GCcv1 were unchanged at $1,273.60 an
ounce.
* The dollar hovered near a four-week high on Wednesday,
supported by higher U.S. yields, which rose overnight after the
United States eased trade restrictions on Chinese
telecommunications equipment maker Huawei Technologies Co Ltd
HWT.UL . USD/ * A stronger dollar makes gold more expensive for holders of
other currencies.
* Chinese Ambassador to the United States Cui Tiankai said
on Tuesday that Beijing was ready to resume trade talks with
Washington, but blamed the U.S. side for frequently "changing
its mind" on tentative deals to end U.S.-China trade disputes.
* Asian stocks on the other hand were on shaky ground, as
earlier relief over Washington's temporary relaxation of curbs
against China's Huawei failed to offset deeper worries about
trade frictions between the two largest economies. MKTS/GLOB
* Meanwhile, the Fed minutes are expected to provide
insights into the May 1 central bank meeting in which
policymakers decided to keep interest rates steady and signalled
little appetite to adjust them any time soon.
* On Monday, Fed Chair Jerome Powell said it was premature
to ascertain the impact of trade and tariffs on monetary policy.
* Economic growth in China and the United States could be
0.2%-0.3% lower on average by 2021 and 2022 if the two countries
do not row back on tit-for-tat tariffs in their dispute that has
dampened the global economic outlook, the OECD said on Tuesday.
* Japanese exports fell for a fifth month in April in a sign
of the growing economic strain exerted by the Sino-U.S. trade
war, but a pickup in business sentiment and machinery orders
shows companies remain optimistic about the future. * Elsewhere, SPDR Gold Trust GLD , the world's largest
gold-backed exchange-traded fund, said its holdings rose 0.48
percent to 739.69 tonnes on Tuesday from 736.17 tonnes on
Monday. GOL/ETF
DATA AHEAD (GMT)
* 0830 UK CPI YY April
* 1800 U.S. FOMC will release the minutes from its
April 30-May 1 policy meeting