PRECIOUS-Gold edges up as dollar slips, coronavirus concerns persist

* Palladium to test $2,600/oz by mid-2021 - UBS
* Platinum up more than 1%
* Interactive graphic tracking global spread of coronavirus:
https://tmsnrt.rs/3mvcUoa

(Recasts, updates prices)
By Brijesh Patel
Oct 27 (Reuters) - Gold prices edged higher on Tuesday,
helped by a weaker dollar and worries over a second surge in
coronavirus cases, although the safe-haven metal held a narrow
range as investors' focus on next week's U.S. presidential
election.
Spot gold XAU= was up 0.4% at $1,909.58 per ounce at 1:35
p.m. EDT (1735 GMT). U.S. gold futures GCcv1 settled up 0.3%
to $1,911.90.
The dollar index .DXY slipped 0.3% against its rivals,
making gold less expensive for holders of other currencies.
USD/
"Gold is stuck in a tight range and there's probably not
going to be too much activity before the U.S. election," said
Michael Matousek, head trader at U.S. Global Investors.
However, people are still carrying bullish bias on gold
because of the coronavirus worries, slowdown in global economies
and stimulus measures, which is prompting investors to add gold
into their portfolios, he added.
The United States, Russia, France and many other countries
are setting records for coronavirus infections, forcing some
countries to impose new curbs. The White House on Tuesday tamped down expectations for a
major coronavirus relief package to be agreed upon by the Nov. 3
U.S. presidential election, saying House of Representatives
Speaker Nancy Pelosi was seeking too much. Democratic challenger Joe Biden leads President Donald Trump
in national polls but the race is much tighter in battleground
states that determine the election outcome. "Gold's outlook will remain very bullish if Election Day
delivers a 'blue wave' that signals massive stimulus on
coronavirus relief and infrastructure spending," Edward Moya,
senior market analyst at OANDA, said in a note.
Gold, considered a hedge against inflation and currency
debasement, has jumped 26% this year amid unprecedented global
levels of stimulus during the pandemic.
Elsewhere, palladium XPD= fell 0.5% to $2,340.21 per
ounce, while platinum XPT= rose 1.6% to $883.88.
Palladium could test $2,600 by mid-2021 bolstered by market
tightness and stimulus measures, UBS said in a note.
Silver XAG= gained 0.6% to $24.46 per ounce.