March 24 (Reuters) - Gold prices fell more than 1% on Tuesday, extending their slide to a tenth straight session, pressured by a firm U.S. dollar and fading hopes for near-term Federal Reserve interest rate cuts.
Spot gold declined 1.5% to $4,340.63 per ounce, as of 0418 GMT, losing about 22% in 10 sessions.
In the previous session, the metal fell to $4,097.99 per ounce, its lowest level since November 24, before paring some losses.
U.S. gold futures for April delivery slipped 1.5% to $4,340.90.
The dollar strengthened on Tuesday, making greenback-priced bullion more expensive for holders of other currencies. [USD/]
Markets are pricing in interest rate hikes, "reasoning that the war in Iran will drive inflation. That global central banks will turn more hawkish as a result has been pushing gold lower," said Ilya Spivak, head of global macro at Tastylive.
For gold, the immediate support levels are at $4,275 and $4,000, while the resistance is seen at $4,650 and $4,840, said Spivak.
Spot gold prices have fallen about 18% since the U.S.-Israeli war on Iran started on February 28, with the dollar emerging as one of the clearest safe-haven winners.
On Monday, Iran denied any negotiations with the U.S. after President Donald Trump postponed a threat to bomb Iran's power grid, citing what he described as productive talks with unnamed Iranian officials.
A Pakistani official and a second source told Reuters that direct talks to end the conflict could take place in Islamabad as early as this week.
Oil prices held above $100 a barrel after Tehran denied it had discussed ending the Middle East war with Washington. [O/R]
Higher crude prices tend to fuel inflation by pushing up transport and manufacturing costs. Although rising inflation typically boosts gold's appeal as a hedge, high interest rates weigh on demand for the non-yielding asset.
Meanwhile, investors trimmed bets on a December Fed rate hike to roughly 13%, from just above 25% in the prior session, according to CME Group's FedWatch. [FEDWATCH]
Spot silver lost 3.4% to $66.80 per ounce. Spot platinum fell 2.1% to $1,841.68 and palladium shed 2.7% to $1,395.25.
(Reporting by Noel John in Bengaluru; Editing by Sumana Nandy, Rashmi Aich and Harikrishnan Nair)
By Noel John
