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Gold prices were stuck in a narrow range on Tuesday as investors refrained from taking big positions ahead of U.S. inflation data that could offer more clarity on whether the Federal Reserve is likely to raise interest rates further.

Spot gold was almost flat at $1,944.59 per ounce, as of 0548 GMT, after hitting its lowest in more than three weeks on Monday. U.S. gold futures edged lower 0.1% to $1,948.40.

Market participants across the globe awaited U.S. consumer price index (CPI) data due at 13:30 GMT on Tuesday and producer price index data due on Wednesday.

Wall Street economists expect the headline CPI to have slowed to a 0.1% rise in October, from a 0.4% increase in September, according to a Reuters poll. The core inflation number is seen at 0.3%, unchanged from September.

"Any upside surprise in the data could see some sort of modest repricing of the odds of another hike, if not in December, then maybe at the start of next year," said Kyle Rodda, a financial market analyst at Capital.com.

"If that happens to be the case, then it will be reasonably negative for gold... the fact that inflation remains still fairly persistent and rates are going to have to remain relatively elevated in the short term."

Although gold is seen as a hedge against inflation, higher interest rates raise the opportunity cost of holding bullion.

Fed officials, including Chair Jerome Powell, last week said they were still not sure rates were high enough to finish the battle with inflation.

The market is pricing in an 86% chance that the Fed will leave rates unchanged in December, according to the CME FedWatch tool.

Meanwhile, COMEX gold speculators lowered their net long position by 1,107 contracts to 105,236 in the week ended Nov. 7, the U.S. Commodity Futures Trading Commission said on Monday. [CFTC/]

Spot silver rose 0.1% to $22.33 per ounce, platinum gained 0.3% to $866.58 and palladium climbed 0.4% to $985.77.