Gold prices edge higher as US Treasury yields soften

Gold prices inched up on Tuesday as the Treasury yields edged lower, while investors looked forward to economic data and comments from Federal Reserve officials throughout the week for clarity on the U.S. central bank's interest rate cut timeline.

FUNDAMENTALS

* Spot gold was up 0.1% at $2,320.60 per ounce, as of 0120 GMT. U.S. gold futures rose 0.3% to $2,335.20.

* Benchmark 10-year U.S. Treasury yields edged down and were last at 4.2673%, making non-yielding bullion more attractive for investors.

* The Fed would be able to cut its benchmark interest rate once this year, Philadelphia Fed President Patrick Harker said on Monday, if his economic forecast plays out.

* Lower rates also make non-yielding gold more attractive.

* Traders are now keeping a close watch on upcoming comments from New York Fed President John Williams and Fed Governor Lisa Cook.

* Fed Chair Jerome Powell is scheduled to give his semi-annual testimony on monetary policy on July 9 at the Senate Banking Committee.

* Investors are also focussed on the release of U.S. retail sales data due at 1230 GMT, weekly jobless claims on Thursday and flash purchasing managers' indices on Friday, which could offer more clarity on consumption and economic strength.

* Spot silver fell 0.1% to $29.47 per ounce, platinum rose 1% at $974.55 and palladium gained 0.1% to $889.69.

DATA/EVENTS (GMT) 1230 US Retail Sales May 0115 US Industrial Production YY May