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PRECIOUS-Gold dips as dollar firms amid hopes for easing U.S.-N.Korea tensions

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March 9 (Reuters) - Gold prices extended losses into a third session on Friday as the dollar strengthened against the yen on hopes of easing tensions between the United States and North Korea and ahead of U.S. non-farm payroll data later in the day.

FUNDAMENTALS

* Spot gold was down 0.3 percent at $1,317.21 per ounce at 0154 GMT.

* U.S. gold futures were down 0.3 percent at $1,318.1.

* The dollar index , which measures the greenback against a basket of major currencies, was up 0.1 percent at 90.298.

* President Donald Trump said on Thursday he was prepared to meet North Korean leader Kim Jong Un for the first U.S.-North Korea summit, marking a potentially dramatic breakthrough in nuclear tensions with Pyongyang.

* Trump also pressed ahead with the imposition of 25 percent tariffs on steel imports and 10 percent for aluminum on Thursday but exempted Canada and Mexico, backtracking from earlier pledges of tariffs on all countries.

* Ministers from the United States, Canada and Mexico meet on Monday to wrap up the latest round of NAFTA talks.

* Eleven countries including Japan and Canada signed a landmark Asia-Pacific trade agreement without the United States on Thursday in what one minister called a powerful signal against protectionism and trade wars.

* Asian stocks looked set for guarded gains on Friday.

* The European Central Bank dropped a long-standing pledge on Thursday to increase its bond buying if needed, taking another small step in weaning the euro zone economy off its protracted stimulus.

* The number of Americans filing for unemployment benefits rebounded last week from a more than 48-year low, but the trend continued to point to robust labour market conditions.

* Later on Friday, market participants will turn their attention to the Bank of Japan's monetary policy decision as well as U.S. jobs data.

DATA AHEAD (GMT)

0130 China Consumer prices Feb 0130 China Producer prices Feb

0630 Bank of Japan Governor Haruhiko Kuroda speaks to reporters at the end of the central bank policy meetings

0700 Germany Industrial output Jan 0700 Germany Trade data Jan 0745 France Industrial output Jan 1330 U.S. Nonfarm payrolls Feb 1330 U.S. Unemployment rate Feb 1330 Euro zone Employment Q1 1500 U.S. Wholesale sales Jan

(Reporting by Eileen Soreng in Bengaluru Editing by Joseph Radford)