PRECIOUS-Gold climbs on Fed rate cut speculation, growth concerns

* Palladium at six-week high, up for fifth straight session
* SPDR Gold holdings down slightly to 756.18 tonnes on
Tuesday
* GRAPHIC-2019 asset returns: http://tmsnrt.rs/2jvdmXl

(Updates prices)
By Karthika Suresh Namboothiri
June 12 (Reuters) - Gold prices gained momentum on Wednesday
as the dollar dipped on speculation about the U.S. central bank
cutting interest rates this year amid global economic growth
concerns.
Spot gold XAU= was trading 0.5% higher at $1,332.77 per
ounce as of 1:32 p.m. EDT (1732 GMT), a rebound from the
previous session when it fell to a 10-day low of $1,319.35.
U.S. gold futures GCv1 settled 0.4% higher at $1,336.80
per ounce.
"Today, global equities are weaker, there is some safe-haven
buying, and buying ahead of the U.S. Fed meeting next week,"
said Bob Haberkorn, senior market strategist at RJO Futures.
"If the Fed cuts rates in June, you're going to see some
substantial gains here in the precious metals market ... People
are trying to get ahead of that and add some gold to their
portfolio."
Global equities snapped a seven-day winning streak after
U.S. President Donald Trump said he had no interest in moving
ahead with a trade deal with China unless Beijing agreed to four
or five "major points." Adding to concerns, U.S. consumer prices barely rose in May,
likely increasing pressure on the Fed to cut interest rates this
year. Fed policymakers will meet on June 18-19. Markets have
priced in at least two U.S. rate cuts by the end of 2019.
Futures imply around an 80% chance of a rate cut as early as
July. FEDWATCH
Lower interest rates make safe-haven assets such as gold,
which does not yield interest, more attractive while weighing on
the dollar. The U.S. currency .DXY was trading largely
unchanged against a basket of currencies on Wednesday. USD/
Holdings of SPDR Gold Trust GLD , the world's largest
gold-backed exchange-traded fund, fell marginally to 756.18
tonnes on Tuesday from 756.42 tonnes on Monday. GOL/ETF
The gold bulls have the overall near-term technical
advantage and regained momentum today," Jim Wyckoff, senior
analyst at Kitco, said in a note. He added that the next upside
price target would be a close in August futures above June's
high of $1,352.70.
Among other metals, silver XAG= was up 0.6% to $14.78 per
ounce, while platinum XPT= dipped half a percent to $808.75 an
ounce.
Palladium XPD= was trading more than 1% higher at
$1,408.51, having hit a six-week high of $1,414.40 earlier in
the session. The autocatalyst metal was trading higher for a
fifth consecutive session.