(Updates to U.S. trading, changes byline, dateline; previous LONDON)
* Wall St. dips; European stocks fall for 7th straight day
* Dollar tumbles to more than two-week low against euro
* Trump gaining on Clinton as campaign enters final week
* Yields rise as investors await Fed meeting
* Oil hovers near one-month lows
By Saqib Iqbal Ahmed
NEW YORK, Nov 1 (Reuters) - The dollar slipped, demand for gold picked up and stocks edged lower on Tuesday as investors sought safe havens amid mounting uncertainty about next week's U.S. presidential election.
U.S. Treasury yields rose as investors awaited the completion of the Federal Reserve's meeting on Wednesday, while oil held just above one-month lows following its sharp slide on Monday.
The U.S. dollar hit its lowest level in more than two weeks against the euro EUR= on Tuesday on U.S. political uncertainty, while the Mexican peso MXN= hit a more than three-week low on positioning for a potential victory for Republican presidential candidate Donald Trump. Clinton win is generally seen by analysts as likely to be a positive for the dollar. But news on Friday that the Federal Bureau of Investigation was probing newly found emails related to U.S Democratic presidential candidate Hillary Clinton's use of a private server continued to shake traders' confidence in the outcome of the Nov. 8 election. market has built up some dollar longs and euro shorts in recent weeks, and with Friday's news increasing the uncertainty around the election outcome, we suspect market participants are cutting back" on those positions, said Vassili Serebriakov, FX strategist at Credit Agricole (PA:CAGR) in New York.
MSCI's 47-country "All World" index .MIWD00000PUS was flat. Asian stocks propped up the index earlier in the session, helped by stronger-than-expected factory activity in China. Wall Street, stocks edged lower, a day after all three major indexes recorded their worst monthly performance since January. Investors have been cautious due to uncertainty surrounding the election.
Clinton held a five-percentage-point lead over Republican Donald Trump, according to a Reuters/Ipsos opinion poll released on Monday, down only slightly since the FBI said last week it was reviewing new emails in its investigation of Clinton ahead of the Nov. 8 election. a poll by ABC News showed Trump leading by one point and the Los Angeles Times put the Republican candidate more than two points ahead.
"The market is expected to be range-bound until the election results next week," said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida.
Meanwhile, U.S. factory activity increased for a second straight month in October amid a pickup in production and hiring, supporting views manufacturing would regain some momentum in the fourth quarter. Dow Jones industrial average .DJI fell 26.05 points, or 0.14 percent, to 18,116.37, the S&P 500 .SPX lost 4.09 points, or 0.19 percent, to 2,122.06 and the Nasdaq Composite .IXIC dropped 7.34 points, or 0.14 percent, to 5,181.80.
European shares edged lower in choppy trade, set for a seventh straight session of falls. Standard Chartered shares STAN.L fell more than 5 percent after underwhelming results. broad FTSEurofirst 300 index .FTEU3 was down 0.55 percent at 1,331.13.
U.S. Treasury yields climbed ahead of the conclusion of the Fed's two-day policy meeting on Wednesday. see only a small chance that the Fed will raise rates on Wednesday, but traders will be scouring its statement for clues on the timing of its next rate hike.
Chances of a hike in December were at around 78 percent, according to the CME Group's FedWatch Tool.
Ten-year notes US10YT=RR were last down 5/32 in price to yield 1.85 percent, up from 1.83 percent on Monday.
Oil held just above one-month lows, following its largest one-day slide in more than five weeks, although analysts said the prospect of a more substantial price recovery was limited. crude LCOc1 was up 0.64 percent at $48.92 a barrel, while U.S. crude CLc1 was down 0.51 percent at $47.10.
Gold rose to a one-month high as the dollar retreated and as concerns over the outcome of the upcoming U.S. elections underpinned prices after last month's fall.
Spot gold prices XAU= were up 0.76 percent to $1,286.94.