(Updates prices at 2:00 p.m ET/ 1800 GMT)

By Sinéad Carew and Alun John

NEW YORK/LONDON, May 28 (Reuters) - A global equities

gauge fell slightly on Tuesday while U.S. indexes were a mixed

bag and the benchmark Treasury yield was higher as investors

awaited inflation data due later in the week for potential clues

about the outlook for U.S. interest rates.

U.S. Treasury yields rose after a weak auction. They had

already gained some steam earlier in the day, given U.S.

consumer confidence unexpectedly improved in May amid optimism

about the labor market after deteriorating for three consecutive

months, a survey showed. Also, U.S. house price growth slowed

sharply in March, likely as rising mortgage rates weighed on

demand.

But equity investors were most focused on waiting for price

data that isn't due out until Friday. The Federal Reserve's

preferred inflation barometer, the U.S. core Personal

Consumption Expenditures Price Index report, is expected to hold

steady on a monthly basis for April.

"It's a holiday shortened week so volume is likely to be

pretty low all week. That's combined with the fact that markets

are focused on one key data point due out Friday," said Gene

Goldman, chief investment officer at Cetera Investment

Management in El Segundo, California, referring to Monday's U.S.

Memorial Day holiday.

"The market is anxiously sitting on the sidelines

waiting to get confirmation that inflation is slowing towards

the Fed's target," he said.

On Tuesday at 2 p.m. MSCI's gauge of stocks across the

globe was down 2.06 points, or 0.26%, at 791.29.

The Dow Jones Industrial Average fell 282.72

points, or 0.72%, to 38,786.87, the S&P 500 lost 8.17

points, or 0.15%, to 5,296.55 and the Nasdaq Composite

gained 63.43 points, or 0.37%, to 16,984.22.

Earlier Europe's STOXX 600 index closed down

0.6%.

In Treasuries, yields initially slipped after the house

price data but regained some ground after the consumer

confidence survey release. Then 5-year and 10-year yields hit

their highest levels since early May after 2-year and 5-year

notes auctions.

The yield on benchmark U.S. 10-year notes

rose 6.7 basis points to 4.54%, from 4.473% late on Friday while

the 30-year bond yield rose 7.6 basis points to

4.6531%.

The 2-year note yield, which typically moves in

step with interest rate expectations, rose 2.5 basis points to

4.9785%, from 4.953%.

In currencies, the dollar index was barely higher

ahead of the inflation data, which is expected to affect

expectations for major central bank monetary policies.

The index, which measures the greenback against a basket of

currencies including the yen and the euro, gained 0.01% at

104.57, with the euro up 0.06% at $1.0864.

Against the Japanese yen, the dollar strengthened

0.15% at 157.1.

Oil prices rose on the expectation that OPEC+ will maintain

crude supply curbs at its June 2 meeting, while a weaker U.S.

dollar made the commodity more attractive to holders of other

currencies.

U.S. crude gained 2.55% to $79.69 a barrel and Brent

rose to $84.06 per barrel, up 1.16% on the day.

Gold prices rose slightly as investors waited for the

crucial U.S. inflation data.

Spot gold added 0.26% to $2,356.82 an ounce. U.S.

gold futures gained 1.17% to $2,359.70 an ounce.