Nov 5 (Reuters) - Gold prices edged down on Tuesday, extending losses to a second straight session, as hopes of a U.S.-China trade pact bolstered the dollar and increased appetite for riskier assets, weighing on the safe-haven bullion.
* Spot gold was down 0.1% at $1,507.31 per ounce, as of 0110 GMT, while U.S. gold futures inched down 0.1% to $1,509.60 per ounce.
* The U.S. dollar rose against the yen on Tuesday as growing optimism around the United States and China reaching a preliminary agreement to scale back their long-drawn trade war, strengthened the greenback.
* The dollar index against a basket of six major currencies stood at 97.556, close to its highest in almost a week.
* A stronger dollar makes gold expensive for buyers holding other currencies.
* Asian shares closed in on their July peak on increasing signs that the U.S. and China are inching closer to a truce in their trade war and on optimism the U.S. economy is well poised for solid, consumer-driven growth.
* Beijing and Washington have shown signs of progress in trade talks with the Financial Times reporting on Monday that the U.S. government is considering to drop some tariffs on Chinese goods.
* The U.S. Federal Reserve has cut interest rates three times this year, but recent economic data suggests that the world’s largest economy’s outlook is not as bad as some had feared.
* After the Labor Department data last week showed that U.S. job growth slowed less than expected in October, investors now await U.S. ISM non-manufacturing report due later in the day, which is forecast to show activity accelerated slightly in October.
* However, data on Monday showed new orders for U.S.-made goods fell more than expected in September and business spending on equipment was slightly weaker than initially thought, suggesting that manufacturing remains soft amid the U.S.-China trade war.
0145 China Caixin Services PMI Oct
0330 Australia RBA Cash Rate Nov
0500 India IHS Markit Svcs PMI Oct
0930 UK Reserve Assets Total Oct
1330 US International Trade Sept
1445 US Markit, Comp, Svcs Final PMIs Oct
1500 US ISM N-Mfg PMI Oct (Reporting by Diptendu Lahiri in Bengaluru; Editing by Aditya Soni)