PRECIOUS-Gold steady above $1,710/oz ahead of Fed meeting
SINGAPORE, Dec 11 (Reuters) - Gold held steady above $1,710 an ounce on Tuesday ahead of a U.S. Federal Reserve meeting where policy makers are expected to announce more stimulus measures, seen to support gold's appeal as a hedge against inflation.
FUNDAMENTALS
* Spot gold was little changed at $1,710.70 an ounce by 0030 GMT, after rising to a one-week high of $1,717.20 in the previous session.
* U.S. gold traded nearly flat at $1,713.
* Many economists think the U.S. central bank will announce monthly bond purchases of $45 billion after its policy gathering on Dec. 11-12, signalling it will continue to pump money into the U.S. economy during 2013 in a bid to bring down unemployment.
* The U.S. budget talks dragged on. The White House and House of Representatives Speaker John Boehner's office held more negotiations on Monday on ways to break the "fiscal cliff" stalemate, although neither side showed any public signs that they were ready to give ground.
* Economic growth appears to be gathering traction in the United States and Britain, while China and Italy may be about to turn up, the Organisation for Economic Co-operation and Development said on Monday.
* Italian Prime Minister Mario Monti's surprise announcement on his imminent departure sparked worries on who will lead the euro zone's third-largest economy out of the debt crisis. On Monday, Italian borrowing costs soared and share prices tumbled.
* Holdings of gold-backed exchange-traded funds edged down to 76.177 million ounces on Dec. 9, after hitting consecutive record highs.
* Spot platinum edged down 0.1 percent to $1,616.27, off Monday's high of $1,625, its highest since mid-October.
* Spot palladium rose to a near three-month high of $702.5 in the previous session, and eased to $698.50.
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MARKET NEWS
* U.S. stocks edged higher on Monday as technology shares bounced back after recent weakness and McDonald's posted strong monthly sales.
* The euro extended its recovery from a two-week low on Tuesday as nerves calmed over Italy's latest political turmoil and the prospects of more stimulus from the Federal Reserve pinned down the dollar.
DATA/EVENTS 1000 Germany ZEW survey Dec
1245 U.S. ICSC weekly U.S. chain store sales 1330 U.S. International trade Oct 1355 U.S. Redbook weekly retail sales 1500 U.S. ISM semi-annual forecasts 1500 U.S. Wholesale inventories Oct 1500 U.S. IBD/TIPP Consumer confidence index Dec
Federal Open Market Committee starts first day of a two-day interest rate policy meeting
PRICES
Precious metals prices 0030 GMT
Metal Last Change Pct chg YTD pct chg Volume Spot Gold 1710.70 -0.89 -0.05 9.39 Spot Silver 33.19 0.00 +0.00 19.86 Spot Platinum 1616.27 -1.98 -0.12 16.03 Spot Palladium 698.50 1.70 +0.24 7.05 COMEX GOLD DEC2 1713.00 -1.40 -0.08 9.33 1146 COMEX SILVER MAR3 33.28 -0.10 -0.29 19.22 281 Euro/Dollar 1.2944 Dollar/Yen 82.38
COMEX gold and silver contracts show the most active months
(Reporting by Rujun Shen; Editing by Himani Sarkar)