Oct 7 (Reuters) - Gold prices advanced on Monday as markets
braced for U.S.-China trade negotiations during the week with
lesser hopes of a breakthrough, following a report that Chinese
officials may not be as willing to bend.
FUNDAMENTALS
* Spot gold XAU= was up 0.3% to $1,508.23 per ounce as of
0101 GMT. Prices had edged 0.5% higher in the previous week on
fears of global economic slowdown.
* U.S. gold futures GCv1 inched 0.1% higher to $1,513.90
an ounce.
* The U.S. dollar .DXY against a basket of currencies was
a shade lower in early trade. Asian markets too edged lower
ahead of the trade talks. USD/ MKTS/GLOB
* The next round of U.S-China trade negotiations, likely to
be in Washington on Oct. 10-11, will be in focus to see if the
two sides can end their year-long trade spat that has upset
economic growth around the world and raised concerns of a
possible recession.
* U.S. President Donald Trump said on Friday there is a
"very good chance" of a trade deal with China. * However, a report that Chinese officials may be
increasingly reluctant to agree to a broad trade deal pursued by
Trump has made this uncertain. * Ruffles in the U.S. political front also supported gold,
with a second whistleblower coming forward with knowledge of
Trump's attempts to get the Ukrainian president to investigate a
political rival, amid an impeachment battle that threatens the
U.S. President's administration. * Meanwhile, a report on Friday showed jobs growth in the
United States slowed down in September and wage growth stalled,
even as unemployment dropped to a 50-year low.
* The unemployment data drop pushed traders of U.S.
short-term interest rate futures to pare bets the Federal
Reserve will cut rates at both of its two upcoming meetings.
* Elsewhere, twenty people were killed in an attack by
suspected jihadists on a gold-mining site in northern Burkina
Faso, Senegal on Friday. AHEAD (GMT)
0600 Germany Industrial Orders MM Aug
0645 France Reserve Assets Total Sept
0730 UK Halifax House Prices MM Sept