* SPDR Gold holdings fell for fifth session last week
* Platinum at three-week low
* U.S. dollar at near six-week high
By K. Sathya Narayanan
Feb 11 (Reuters) - Gold fell on Monday as investors looked to the
safety of the dollar to stave off risks from the U.S.- China trade
spat, as concerns mounted over a slowdown in global growth.
Spot gold was down 0.6 percent at $1,306.71 per ounce at 1222
GMT, after having risen for the previous two sessions.
U.S. gold futures also declined 0.6 percent to $1,310.70 per ounce.
"The dollar seems to be the main beneficiary of the fears of
economic slowdown, pushing gold down," said Mitsubishi analyst
"But gold has managed to be above $1,300 level, which is a
fairly solid and decent support level since there are some downward
pressures right now."
The dollar index was at a near six-week high, making the
greenback-denominated gold more expensive for holders of other
The dollar has risen despite the Federal Reserve pausing its
multi-year rate hike cycle and dovish comments from several Fed
officials, which pushed gold to a nine-month high at $1,326.30 in late
While gold is supported by the Fed's policy, prices will likely
remain range-bound until there is clarity on the trade front and U.S.
government shutdown, OANDA analyst Edward Moya said in a note.
Investors' focus will be back on the trade talks between Beijing
and Washington this week as a delegation of U.S. officials travels to
China for the next round of negotiations.
U.S. President Donald Trump said last week that he had no plans to
meet with Chinese President Xi Jinping before a March 1 deadline to
achieve a trade deal.
Also, In the latest development surrounding political gridlock in
Washington, talks on border security funding collapsed after
Democratic and Republican lawmakers clashed over immigrant detention
policy as they worked to avert another U.S. government shutdown.
"Global growth worries, absence of positive signs in
U.S-China trade negotiations and reduction in the euro-zone growth
forecasts have laid a strong foundation for gold," said Benjamin
Lu, an analyst with Singapore-based Phillip Futures.
Adding to a string of disappointing global economic data,
especially in the euro zone, official figures on Monday showed
Britain's economy slowed as expected in the final three months of last
year, pushing growth in 2018 to its weakest in six years, as Brexit
worries hammered investment.
Meanwhile, holdings of the SPDR Gold Trust , the world's largest
gold-backed exchange-traded fund, saw outflows for five straight
sessions last week.
Among other precious metals, palladium fell 0.9 percent to
$1,390 an ounce.
Spot silver dropped 0.7 percent to $15.71, while platinum
was down 1.3 percent at $788 per ounce, after touching its lowest in
(Reporting by K. Sathya Narayanan in Bengaluru; editing by David Evans)
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