BENGALURU, July 25 (Reuters) - Gold prices inched lower
early Tuesday after hitting a one-month high in the previous
session as the dollar firmed ahead of a U.S. Federal Reserve
monetary policy meeting. 
          
    FUNDAMENTALS    
    * Spot gold        fell 0.2 percent to $1,252.90 per ounce
at 0050 GMT. It hit $1,258.79 an ounce in the previous session,
it highest since June 23.
    * U.S. gold futures         for August delivery fell 0.1
percent to $1,253.30 per ounce.
    * The U.S. dollar rose from its lowest in more than a year
and Treasury yields climbed on Monday as investors braced for
news from this week's central bank meeting and possible hints on
when the next interest rate hike is coming.            
    * The greenback was also assisted by stronger-than-expected
readings on the U.S. economy, as investors kept a wary eye on
developments concerning possible ties between Russia and aides
to U.S. President Donald Trump.       
    * Long-delayed legislation to impose new sanctions on Russia
hit another snag on Monday when influential Republican chairman
of the Senate Foreign Relations Committee, Bob Corker said the
announcement of a deal to move the bill forward was premature.
            
    * Trump's son-in-law, Jared Kushner, on Monday told Senate
investigators he had no part in any Kremlin attempt to meddle in
the U.S. election despite having met Russians four times last
year.             
    * Trump made a last-ditch plea to U.S. Senate Republicans on
Monday to "do the right thing" and fulfil seven years of
campaign promises to repeal and replace former President Barack
Obama's signature healthcare law.             
    * U.S. home resales fell more than expected in June as a
dearth of properties amid strong demand pushed prices to a
record high, keeping first-time buyers on the sidelines.
            
    *  A slowdown in euro zone business growth at the start of
the second half of 2017, alongside declining inflation pressures
in a key business survey, could put paid to expectations of a
stimulus clawback by the European Central Bank later this year.
            
    * Holdings at the SPDR Gold Trust      , the world's largest
gold-backed exchange-traded fund, fell 0.51 percent to 809.62
tonnes on Monday from 813.76 tonnes on Friday.             
    * Newcrest Mining Ltd          said on Monday its fourth
quarter gold production fell 7.7 percent from a year ago after
its flagship Cadia mine was hit by an earthquake, but output was
just enough to meet its full-year target.
    
    DATA AHEAD
     0600    Germany   Import prices                    June 
     0800    Germany   IFO business climate index       July 
     1300    U.S.      Home price index                 May 
     1300    U.S.      S&P Case-Shiller home prices     May 
     1400    U.S.      Richmond Fed manufacturing index July  
     1400    U.S.      Consumer confidence index        July 
    

 (Reporting by Nithin Prasad in Bengaluru; Editing by Richard
Pullin)