PRECIOUS-Gold steady as investors await US trade talk updates, ECB decision

July 21 (Reuters) - Gold prices were little changed in early Asian trade on Monday, with investors eyeing further developments on U.S. trade talks and the European Central Bank's policy decision this week.

FUNDAMENTALS

* Spot gold XAU= rises 0.1% to $3,353.81 per ounce as of 0105 GMT. U.S. gold futures GCcv1 were steady at $3,360.50.

* Investors are closely monitoring developments in trade negotiations ahead of U.S. President Donald Trump's August 1 deadline, as U.S. Commerce Secretary Howard Lutnick remains optimistic about reaching a deal with the European Union.

* At its meeting this week, the European Central Bank is expected to hold interest rates steady at 2.0% following a string of cuts.

* Last week, Federal Reserve Governor Christopher Waller said he still believes that the U.S. central bank should cut rates at its policy meeting next week.

* Gold, often considered a safe haven during economic uncertainties, tends to do well in a low interest rate environment.

* In Japan, the ruling coalition lost control of the upper house in an election on Sunday, further weakening Prime Minister Shigeru Ishiba's grip on power as the U.S. tariff deadline looms.

* Asian shares and the yen held their ground on the day as the Japanese elections proved bad for the government but no worse than already priced in. MKTS/GLOB

* Gold demand in India remained subdued last week, with near-record prices deterring buyers and prompting dealers to deepen discounts, while elevated prices also curtailed activity across other major Asian markets.

* Spot silver XAG= rose 0.2% to $38.24 per ounce, platinum XPT= added 0.4% to $1,427.05 and palladium XPD= gained 0.6% to $1,248.50.