PRECIOUS-Gold dips as Mideast tensions ease, focus on Trump inauguration

Jan 20 (Reuters) - Gold prices fell in early Asian trading on Monday as easing tensions in the Middle East tempered safe-haven demand, while investors awaited Donald Trump's inauguration and clarity on the incoming administration's policies.

FUNDAMENTALS

* Spot gold XAU= dipped 0.4% to $2,690.81 per ounce by 0140 GMT. U.S. gold futures GCcv1 dropped 0.5% to $2,734.90.

* Hamas released three Israeli hostages and Israel released 90 Palestinian prisoners on Sunday, the first day of a ceasefire suspending a 15-month-old war that has devastated the Gaza Strip and inflamed the Middle East.

* Market participants keenly awaited Trump's inauguration later in the day, and his broad trade tariffs are expected to further ignite inflation and trigger trade wars, potentially increasing bullion's safe-haven appeal.

* Gold is used as an inflation hedge but higher interest rates dampen its appeal.

* The future path of U.S. interest rates will depend on how aggressively the incoming administration follows through on Trump's policy pledges.

* The U.S. Federal Reserve will likely hold interest rates steady on Jan. 29 and resume cutting in March, according to a slim majority of economists polled by Reuters.

* Gold stocks in COMEX-approved CME.O warehouses have jumped by a third in the past six weeks as market players sought deliveries to hedge against the possibility of import tariffs from Trump.

* COMEX gold speculators raised net long positions by 17,994 contracts to 212,494 in the week to Jan. 14, data showed. CFTC/

* Elsewhere, gold discounts in India widened to six-month highs this week as a rise in domestic prices dampened demand and jewellers awaited the annual federal budget, while physical gold demand in China was solid ahead of the Lunar New Year festival.

* SPDR Gold Trust GLD, the world's largest gold-backed exchange-traded fund, said its holdings rose 1.19% to 879.12 tonnes on Friday from 868.78 tonnes on Thursday. GOL/ETF

* Spot silver XAG= fell 0.7% to $30.13 per ounce, palladium XPD= eased 0.3% to $944.25 and platinum XPT= shed 0.2% to $940.05.

DATA/EVENTS (GMT)

0430 Japan Tertiary Ind Act NSA Nov

(Reporting by Rahul Paswan in Bengaluru; Editing by Subhranshu Sahu)

((RahulKumar.Paswan@thomsonreuters.com ; If within U.S. +1 646 223 8780;;))