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Gold prices hovered near the key level of $1,900 an ounce on Tuesday, supported by a weaker dollar and lower bond yields, while investors awaited U.S. data later this week to gauge inflationary pressure.

FUNDAMENTALS

* Spot gold was steady at $1,899.94 per ounce, as of 0053 GMT.

* U.S. gold futures edged 0.2% higher to $1,902.80 per ounce.

* The dollar index, which measures the greenback against a basket of major currencies, was flat at 90.003, well below a three-week high of 90.627 hit last week. [USD/]

* The benchmark 10-year yield was pinned near more than one-week low, reducing the opportunity cost of holding non-interest bearing gold. [US/]

* Market participants' focus this week will be on the U.S. consumer price index report that is expected to shed more light on the Federal Reserve's near-term policy decision.

* Some investors view gold as a hedge against higher inflation that could follow stimulus measures.

* Japan's economy shrank at a slower-than-initially reported pace in the first quarter, on smaller cuts to plant and equipment spending, but the pandemic still dealt a huge blow to overall demand.

* British retailers reported a big boost in sales in May, after lockdown measures ended the month before and a relaxation of restrictions on hospitality drew more shoppers into town centres, industry data showed on Tuesday.

* A gauge of global equity markets closed at a record high on Monday. [MKTS/GLOB]

* SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.6% to 1,037.33 tonnes on Monday from 1,043.16 tonnes on Friday. [GOL/ETF]

* Silver rose 0.1% to $27.89 per ounce, palladium gained 0.1% to $2,837.76, while platinum edged 0.1% higher to $1,174.02.

DATA/EVENTS (GMT)

0600 Germany Industrial Output MM April

0900 EU GDP Revised QQ, YY Q1

1230 US International Trade April

(Reporting by Brijesh Patel in Bengaluru; Editing by Ramakrishnan M.)