* Dollar gains after weak China trade data
* Fed's Bowman: more rate hikes may be needed
* SPDR Gold ETF holdings down 0.3% on Monday
Aug 8 (Reuters) - Gold eased on Tuesday as the dollar climbed after weaker Chinese trade data, while caution in the run-up to U.S. inflation readings this week also kept appetite for zero-yield bullion subdued.
Spot gold was down 0.1% at $1,934.02 per ounce by 0939 GMT, while U.S. gold futures fell 0.1% to $1,968.90.
"China's weak trade data has resulted in a general risk-off sentiment. The haven of choice today has been the greenback, which has put pressure on the precious metal," said FXCM market specialist Russell Shor.
The dollar gained 0.4% but buck-priced bullion's losses were limited by a downturn in benchmark 10-year Treasury yields from November 2022 highs hit on Friday.
"Gold prices remain under pressure from the recent rise in U.S. bond yields and after Fed's Bowman said more rate hikes may be needed," said Saxo Bank's head of commodity strategy Ole Hansen.
Fed Governor Michelle Bowman on Monday outlined the likely need for additional rate hikes to lower inflation to the Fed's 2% target, while New York Fed chief John C. Williams expected that rates could begin to come down next year.
"The sixty-four-dollar question this week is the U.S. inflation outcome," said Clifford Bennett, chief economist at ACY Securities.
A hotter-than-expected CPI number on Thursday could raise the possibility of another rate hike in September.
"The market already knows headline inflation is trending lower, but any firmness in the data could be a fresh downward catalyst for gold in the short term," Bennett added.
Rate hikes tend to lift bond yields, raising the opportunity cost of holding zero-yield bullion.
Reflecting sentiment, holdings of the world's largest gold-backed exchange-traded fund, SPDR Gold Trust, fell to a five-month low on Monday.
Silver edged 0.1% lower to $23.13 per ounce, platinum eased 0.8% to $912.28, while palladium shed over 2% to $1,213.84. (Reporting by Deep Vakil and Swati Verma in Bengaluru; Editing by Conor Humphries)
