Silver set for third session of gains
Dollar index down 0.1
Gold down nearly 2 this month
European stocks lack momentum

June 27 Reuters Gold prices held steady with support from a softer dollar on Tuesday after the metal registered two sessions of gains, though investors remained cautious after recent hawkish comments from U.S. central bank officials.

Spot gold held its ground at 1,923.09 per ounce by 1200 GMT while U.S. gold futures edged down 0.1 to 1,932.90.

The dollar index eased slightly, making dollarpriced bullion more attractive for overseas buyers.

Gold is seeing slight relief from the easing U.S. dollar today, even as it adheres to the downtrend that39;s been in place since early May, said Han Tan, chief market analyst at Exinity.

Spot gold may revisit sub1,900 levels in the near term if markets begin to take heed of Federal Reserve Chair Powell39;s hawkish warnings and price in a second 25 bps rate hike by the Fed later this year.

Bullion has shed about 2 this month set for a second consecutive monthly fall if losses hold as expectations of higherforlonger interest rates in the United States have dented the zeroyielding asset39;s appeal, even though it is seen as a safe investment during economic uncertainty.

Market participants are now looking ahead to Fed Chair Jerome Powell39;s speech before the European Central Bank Forum in Sintra at 1330 GMT on Wednesday.

Meanwhile, Julius Baer analyst Carsten Menke said that high interest rates are…