PRECIOUS-Gold dips on profit-taking, trade uncertainties cap losses

* Palladium registers strongest week since Sept. 13
* Weak dollar also supports

(Adds comment, updates prices)
By Karthika Suresh Namboothiri
Oct 18 (Reuters) - Gold prices dipped on Friday as investors
booked profit after the European Union forged a new Brexit deal
with Britain, though a floor was kept under prices by
uncertainties over trade negotiations and the global economy.
Spot gold XAU= edged down by 0.1% to $1,490.05 an ounce at
0722 GMT. U.S. gold futures GCv1 fell 0.4% to $1,493.
"Considering the present uncertainties around the U.S.-China
trade war and other geopolitical risks, gold still has potential
upside," said Hareesh V, head of commodity research at Geojit
Financial Services, attributing the slight price dip to
profit-taking.
The European Union backed a new Brexit deal with Britain on
Thursday, prompting an uptick in Asian shares in early trade.
However, gains were capped by disappointing economic growth data
from China. MKTS/GLOB While markets cheered progress on Brexit, doubts will
resurface if British Prime Minister Boris Johnson is unable to
secure UK parliament backing for the agreement to take Britain
out of Europe on Oct. 31.
"Gold will be range-bound until and unless we have some
clarity on Brexit and other geopolitical risks," said Brian Lan,
of Singapore dealer GoldSilver Central, adding that he expects
gold to trade around $1,475 to $1,503 per ounce over the short
term.
Worries surrounding a trade war between the United States
and China continue to linger, with China's third-quarter
economic growth slowing more than expected to its weakest pace
in almost three decades. The dollar index .DXY at a near eight-week low has also
supported gold. USD/
ANZ Bank said it expects gold to be supported by elevated
macroeconomic and geopolitical risks, with prices for
under-supplied platinum group metals likely to push higher.
"The palladium market is still structurally tight, keeping
prices resilient, with intermittent volatility."
Among other precious metals, palladium XPD= rose 0.2% to
$1,762.91 an ounce, a day after hitting a record high of
$1,783.21. The autocatalyst metal was up 3.7% on the week and
set for its best since the week of Sept. 13.
Platinum XPT= was down 0.2% at $885.40 while silver XAG=
fell 0.1% to $17.51.