* U.S. Oct ISM non-manufacturing data beats expectations
* Global shares climb back towards record highs
* Palladium drops to near two-week low
* Graphic on 2019 asset returns: http://tmsnrt.rs/2jvdmXl (Adds comments, updates prices)
Nov 5 (Reuters) - Gold fell more than 1% on Tuesday, en route to its biggest one-day dip in more than a month, as stock markets marched back toward record highs on expectations the United States may drop tariffs on Chinese imports.
Spot gold slid 1.3% to $1,490.09 per ounce at 10:14 a.m. EDT (1514 GMT), which could be its biggest one-day percentage drop since end-September.
U.S. gold futures were down 1.3% to $1,491.70.
"The main factor (for gold's slide) is the rollback in some of Chinese import tariffs and part of the 'phase one' trade deal going through," said Bob Haberkorn, senior market strategist at RJO Futures.
"Also, global equities have been trading significantly higher in the last few sessions, coupled with a little bit of a break in the U.S.-China tariffs, putting pressure on anything where there is safety right now."
China hopes for the removal of more tariffs imposed by the United States in September as part of a "phase one" U.S.-China trade deal, which may be signed this month by U.S. President Donald Trump and Chinese President Xi Jinping.
World shares climbed back toward record highs and safe-haven bonds tumbled, as the trade truce hopes rekindled optimism about the global economic outlook.
"Rallying world stock markets that saw the U.S. indexes score more record highs overnight are keeping demand for the safe-haven metals squelched," Kitco Metals senior analyst Jim Wyckoff said in a note.
"Risk sentiment worldwide remains upbeat amid ideas the U.S. and China are very close to a partial trade deal."
Stock markets also got a boost after the release of better-than-expected U.S. ISM non-manufacturing data for October.
Meanwhile, a slew of investment in gold-backed exchange traded funds (ETFs) offset a decline in purchases of jewelry, bars and coins to push global gold demand slightly higher in the third quarter, the World Gold Council (WGC) said on Tuesday.
Among other metals, silver dipped 1.9% to $17.70 per ounce and platinum fell 0.6% to $930.49 per ounce.
Palladium edged 0.6% lower to $1,768.36 an ounce, its weakest in nearly two weeks. The metal hit an all-time high of $1,824.50 on Oct. 30, driven by a sustained supply crunch for the autocatalyst metal.
"With palladium expected to stay in deficit and new mine-supply additions lacking next year, prices are likely to remain propped up to incentivize more scrap supply and curb demand growth," UBS commodity analyst Giovanni Staunovo said in a note. (Reporting by Swati Verma and Asha Sistla in Bengaluru Editing by Marguerita Choy)