CORRECTED-PRECIOUS-Gold holds firm above $1,500 on global growth worries

(Corrects 8th paragraph to say Federal Reserve annual symposium
at Jackson Hole will be held next week and not later this week)
* Speculators increase net longs in COMEX gold
* Gold prices are up about 17% this year
* Traders see 69% chance of 25 bps US rate cut in Sept

By K. Sathya Narayanan
Aug 12 (Reuters) - Gold rose on Monday, holding above the
psychological $1,500 level as investors' demand for safe-haven
bullion increased on concerns over the impact of the trade war
between Washington and Beijing on global economic growth.
Spot gold XAU= was up 0.5% at $1,504.55 per ounce at 1202
GMT, holding close to last week's six-year high of $1,510. U.S.
gold futures GCv1 were up 0.6% at $1,517.40 an ounce.
"(There are) fears of slowdown in the global economy, and
the trade talks (between the United States and China) are not
going the best way," ActivTrades analyst Carlo Alberto De Casa
said. "There is still room for gold to go up."
U.S. President Donald Trump said on Friday he was not ready
to make a deal with China and even called the September round of
trade talks into question. The yen and bonds - also often seen as offering protection
from risk - rose, while stocks struggled, hurt by fears a
prolonged trade war and Britain's looming exit from the European
Union could tip top economies into recession. MKTS/GLOB
With no sign of trade tensions between the U.S. and China
abating, MKS PAMP said in a note that gold could continue to
build momentum, with global growth concerns and central bank
easing also helping the rally.
Analysts said negative debt yields around the globe were
further supporting bullion. Non-interest bearing gold tends to
benefit when yields on other assets are low.
Market focus is now on the Federal Reserve annual symposium
at Jackson Hole scheduled for next week, with investors seeking
greater clarity on the future path of interest rates.
Traders see a 74% chance of a 25 basis-point rate cut by the
U.S. central bank this September. FEDWATCH
Spot gold may gain further to $1,524, as it has cleared
resistance at $1,497 per ounce, Reuters technical analyst Wang
Tao said. TECH/C
Hedge funds and money managers raised their bullish stance
in COMEX gold in the week to Aug. 6, the U.S. Commodity Futures
Trading Commission (CFTC) said on Friday. CFTC/
However, with bullion rising as much as 4% last week and up
about 17% this year, some argued further gains may be tough to
find.
"To achieve higher prices we need more negative surprises in
the economic, financial and geopolitical side. If we don't see
further escalation (in trade tensions), we are likely to see
gold prices treading water or coming under more pressure,"
Commerzbank analyst Eugen Weinberg said.
Elsewhere, silver XAG= was up 0.1% at $16.96 per ounce.
Platinum XPT= was down 0.1% at $858.19, while palladium XPD=
gained 0.5% to $1,428.94 an ounce.