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PRECIOUS-Gold edges up after Trump offers larger U.S. stimulus

    * Dollar index gains
    * U.S. weekly jobless claims rise unexpectedly
    * Interactive graphic tracking global spread of coronavirus:
open
tmsnrt.rs/3aIRuz7 in an external browser

 (Updates prices)
    By Sumita Layek
    Oct 15 (Reuters) - Gold prices edged up on Thursday after
U.S. President Donald Trump reignited hopes of a coronavirus
stimulus package before the Nov. 3 elections, but a strong
dollar kept the metal's gains in check.
    Spot gold        rose 0.3% at $1,906.15 per ounce by 1:46
p.m. EDT (1746 GMT). U.S. gold futures        settled up 0.1% at
$1,908.90.
    Trump said he would agree to go higher than the $1.8
trillion that the White House has offered in coronavirus
stimulus to strike a deal.             
    "The focus is on renewed hopes for stimulus talks as the
U.S. president keeps pushing to get a deal done and gold is
ignoring the strength in the dollar," ED&F Man Capital Markets
analyst Edward Meir said.
    "But with the dollar as strong as it is, the upside in gold
will likely be limited."
    The dollar        held gains against rivals, supported by
U.S. Treasury Secretary Steve Mnuchin's remarks on Wednesday
that a stimulus deal would be hard to reach before the election.
                        
    Further supporting gold, U.S. weekly jobless claims
unexpectedly rose last week.             
    "The jobless numbers showed that we're not out of the woods
yet, we still have a lot of headwinds to contend with, which
points to the likelihood of more government intervention through
stimulus and suppressed interest rates," said Jeffrey Sica,
president and chief investment officer of Sica Wealth
Management.
    Gold, considered a hedge against inflation, currency
debasement and uncertainty, has gained 25% this year, driven by
massive global stimulus to cushion economies from the
pandemic-induced slump.
    "Ultimately the macro factors that have driven investors to
seek the yellow metal's warm embrace will keep investment
capital flowing into gold well into next year," TD Securities
analysts said in a note.
    Elsewhere, silver        fell 0.4% to $24.19 per ounce,
platinum        rose 0.5% to $860.92 and palladium       
climbed 0.2% to $2,349.04.

 (Reporting by Sumita Layek in Bengaluru
Editing by Marguerita Choy and Chizu Nomiyama)
  
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