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Gold above $2,300/Oz suggests buyers active in dips -

analyst

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Gold hitting $3,000/Oz looks out of reach -industry

experts

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U.S. consumer prices were unexpectedly unchanged in May

(Recasts and updates prices as of 0924 GMT)

By Harshit Verma

June 13 (Reuters) - Gold prices fell on Thursday after

the U.S. Federal Reserve projected just one interest rate

reduction this year, dashing investors' hopes of two cuts, while

a cooler-than-expected inflation report limited the dip.

Spot gold was down 0.3% at $2,315.86 per ounce, as of

0924 GMT. U.S. gold futures fell 1% to $2,331.60.

The market is still digesting a quite intense Wednesday,

that saw U.S. inflation data supporting gold, while Fed's

hawkish strike kept prices in check, Kinesis Money market

analyst Carlo Alberto De Casa said.

The Fed held rates steady and projected only one rate cut

in 2024 despite some progress in inflation, as growth and

unemployment lodged at levels better than the U.S. central bank

considers sustainable in the long run.

Meanwhile, inflation data showed the consumer price index

was surprisingly flat in May, sending gold as high as 1% before

it pared gains to close just about 0.3% higher on Wednesday.

The Fed is unlikely to take action until either a more

convincing decline in price pressures is seen or unemployment

rate jumps.

Last week, gold prices saw their biggest sell-off since

November 2020, after a double-whammy from strong U.S. jobs

report and news of China's central bank holding off gold

purchases.

"Despite this, gold remains above $2,300/Oz, which means

that buyers are still actively seeing corrections and dips as a

good opportunity for increasing their gold holdings," said De

Casa.

Gold's rally to successive record highs shows every sign of

continuing in the second half of 2024, as the fundamental case

for bullion remains firmly in place, though $3,000 per ounce

looks just out of reach, traders and industry experts said.

Elsewhere, spot silver fell 1.3% to $29.32 per ounce,

platinum was down 1.4% at $950.50 and palladium

lost 1.4% to $893.41.