PRECIOUS-Gold holds steady above two-week low after Fed minutes

* Fed's patience on interest rates to last 'for some
time'-minutes
* SPDR Gold holdings rise 0.4% on Tuesday
* Platinum dips to three-month low

(Updates prices, adds quote, details)
By Brijesh Patel and Swati Verma
May 22 (Reuters) - Gold was little changed on Wednesday in
the wake of minutes from the latest U.S. Federal Reserve
meeting, but the precious metal was trading above the two-week
low hit in the last session as stock markets slid on fresh trade
tensions.
Spot gold XAU= was steady at $1,273.68 per ounce as of
3:10 p.m. EDT (1910 GMT), having fallen to its lowest level
since May 3 on Tuesday at $1,268.97.
U.S. gold futures GCcv1 settled 0.1% higher at $1,274.20.
The minutes from U.S. Fed's last meeting showed policymakers
agreed that their current patient approach to setting monetary
policy could remain in place "for some time."
"Not many surprises here and not many were expected. I would
note though that this Fed meeting happened before China
backtracked on the trade talks. At the next meeting, almost
certainly there will be more caution," said Tai Wong, head of
base and precious metals derivatives trading at BMO.
Earlier this week, Fed Chair Jerome Powell said it would be
premature to make a judgment about the impact of trade and
tariffs on monetary policy. Global financial markets fell as a reprieve in U.S. trade
restrictions on China's Huawei Technologies Co Ltd was countered
by reports the White House is considering sanctions on Chinese
video surveillance firm Hikvision. MKTS/GLOB U.S. Treasury Secretary Steven Mnuchin said U.S. officials
were not currently scheduled to go to Beijing for the next round
of trade negotiations, a day after the Chinese Ambassador to the
United States, Cui Tiankai, said that Beijing was still open for
talks. "We have global growth concerns relating to trade frictions
between the U.S. and China, and expectations of lower interest
rates down the year, but at the same time, the dollar is
stronger, which is not supportive for gold," said Jeff Klearman,
portfolio manager at GraniteShares.
The dollar index .DXY firmed near a one-month peak, making
gold expensive for holders of other currencies. USD/
Meanwhile, holdings of SPDR Gold Trust GLD , the world's
largest gold-backed exchange-traded fund, rose 0.4% to 739.69
tonnes on Tuesday. GOL/ETF
However, holdings have declined nearly 7% so far this year,
indicating subdued investor interest in bullion.
On the technical side, spot gold XAU= may now test support
at $1,264 per ounce, a break below which could open the way
towards $1,244, according to Reuters technical analyst Wang Tao.
L4N22Y0WQ
Among other precious metals, silver XAG= was steady at
$14.44 per ounce, while palladium XPD= edged 0.2% lower to
$1,317.52.
Platinum XPT= slipped 1.7% to $799.39 an ounce, having
touched its lowest since Feb. 18 at $798.50 earlier in the
session.

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