PRECIOUS-Gold prices steady as US-China trade talks unfold in London

June 10 (Reuters) - Gold prices remained steady on Tuesday as investors monitored ongoing U.S.-China trade discussions in London aimed at easing a trade dispute between the world's two top economies.

FUNDAMENTALS

Spot gold XAU= edged down 0.2% to $3,322.07 an ounce, as of 0032 GMT. U.S. gold futures GCcv1 fell 0.4% to $3,341.90.

High-level trade talks between the U.S. and Chinese officials are extending into a second day, with discussions encompassing issues ranging from tariffs to rare earth restrictions. The dispute has raised fears of supply chain disruptions and slower global economic growth.

U.S. President Donald Trump said his administration was "doing well" in the negotiations and noted positive reports from the talks. Last month, both sides agreed to a temporary pause in tariffs, offering some relief to financial markets.

China's export growth slowed to a three-month low in May as U.S. tariffs slammed shipments, while factory-gate deflation deepened to its worst level in two years, heaping pressure on the world's second-largest economy on both the domestic and external fronts.

Meanwhile, Americans' anxiety about the future path of inflation eased in May, as they also grew more upbeat about the state of their personal finances, according to a report released on Monday by the New York Federal Reserve.

Investors are also awaiting U.S. inflation data on Wednesday that may adjust expectations for the timing of any rate cuts by the Fed.

Safe-haven gold becomes more attractive during periods of geopolitical and economic uncertainty. It also tends to thrive in a low-interest rate environment as it is a non-yielding asset.

Elsewhere, spot silver XAG= was unchanged at $36.72 per ounce, platinum XPT= fell 0.1% to $1,218.49, while palladium XPD= was up 0.2% to $1,076.22.