Gold Edges Higher on Softer Greenback

Gold prices rose on Friday and were en route to their first weekly gain in a month, supported by a softer American dollar, tensions in the Middle East and caution about Sino-U.S. trade talks, while palladium climbed to a fresh record peak.

Spot gold was up 0.3% at $1,503.36 U.S. per ounce, up about 1% this week. U.S. gold futures were up 0.5% at $1,513.5 U.S. per ounce.

The greenback slipped on Friday and was headed for a third straight week of losses as central banks in Japan, the U.K. and Switzerland refrained from cutting rates.

U.S. and Chinese deputy trade negotiators resumed face-to-face talks for the first time in nearly two months on Thursday, trying to prepare for high-level talks in early October.

Gold prices have risen about 17% this year mainly on U.S.-China trade tensions, concerns over the global economic growth outlook and prospects of monetary easing by central banks.

The U.S. Federal Reserve cut interest rates for the second time this year on Wednesday to help sustain economic expansion but gave mixed signals on future rate cuts.

Elsewhere, palladium rose 1% to $1,640.15 U.S. per ounce, having hit a record peak of $1,646.81. Prices were up 2% for the week in a seventh straight weekly gain.

Platinum reached $943.52 and silver were at $17.89 per ounce, both up 0.7%.