July 7 (Reuters) - Gold prices fell on Tuesday, trading

below a two-week high hit in the previous session, as investors

looked ahead to the release of the U.S. Federal Reserve's June

meeting minutes for insight into new Chair Kevin Warsh's

monetary policy direction.

FUNDAMENTALS

* Spot gold fell 0.4% to $4,148.59 per ounce by 0043

GMT, while U.S. gold futures for August delivery eased

0.2% to $4,160.20.

* The Federal Open Market Committee's June 16-17 meeting

minutes will be released on Wednesday.

* Forward guidance can be a "valuable tool" that speeds the

impact of monetary policy under the right circumstances, though

it can be a problem when used inflexibly, Fed Governor

Christopher Waller said on Monday.

* U.S. services sector activity dipped in June as some of the

boost from businesses rushing to place orders amid the Middle

East war ebbed, but employment rebounded after contracting for

three straight months, pointing to continued labor market

stability.

* Gold prices have retreated more than 25% from record highs

reached earlier this year, as the U.S.-Israel war with Iran

stoked inflation concerns, boosted the dollar and reinforced

expectations of interest rate hikes this year.

* However, bullion hit a two-week high on Monday as the

U.S.-Iran ceasefire deal eased some of those inflation concerns

and last week's weaker-than-expected U.S. jobs data prompted

markets to dial back expectations for a near-term interest rate

hike.

* Traders now see about a 57% chance of a rate increase in

September, down from more than 60% before the data, according to

the CME FedWatch tool.

* Lower rates make zero-yield bullion more attractive for

investors.

* Citi has become the fifth bank to clear transactions in

London's over-the-counter gold market, the world's largest

bullion trading centre, in a major expansion of its precious

metals business, the bank said on Monday.

* Perth Mint's gold product sales hit a two-month high in June,

up 53% from May, while silver sales declined 19% from May, the

refiner said on Tuesday.

* Elsewhere, spot silver slipped 0.8% to $61.57 per

ounce, platinum eased 0.8% to $1,618.78 and palladium

fell 0.4% to $1,264.11.

DATA/EVENTS (GMT)

0600 Germany Industrial Output MM May

0600 Germany Industrial Production YY May

0600 UK Halifax House Prices MM, YY Jun

0645 France Reserve Assets Total Jun

1230 US International Trade $ May