July 2 - Britain's FTSE 100 index is seen

opening lower on Tuesday, with futures down 0.4%.

* INFLATION: Prices in British shops rose at the slowest

pace in almost three years last month, according to industry

figures that underscore how inflation has cooled even if Prime

Minister Rishi Sunak is unlikely to see much benefit in this

week's national election.

* RIO TINTO: Global miner Rio Tinto is negotiating

with workers at its Oyu Tolgoi copper operations in Mongolia to

avert further industrial action over a sharp drop in wages that

triggered an earlier strike in May.

* GOLD: Gold prices were flat as investors awaited comments

from Federal Reserve Chair Jerome Powell and jobs data for

further insight about the U.S. central bank's interest rate

outlook.

* OIL: Oil prices were little changed holding near the

two-month highs reached in the previous session, on expectations

for rising fuel demand from the summer travel season and

possible U.S. interest rate cuts that could boost economic

growth.

* FTSE: London's FTSE 100 began the week on a steady note on

Monday, supported by housebuilders and precious metal miners,

while investors remained cautious ahead of Britain's July 4

election.

* For more on the factors affecting European stocks, please

click on:

TODAY'S UK PAPERS

> Financial Times

> Other business headlines

(Reporting by Prerna Bedi in Bengaluru)