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PRECIOUS-Gold slips on stronger dollar, improving risk appetite

    * Dollar hits near one-week high
    * Palladium dips over 5%
    * Fed policymakers suggest more specific fiscal support
    * Interactive graphic tracking global spread of coronavirus:
tmsnrt.rs/3mvcUoa

 (Updates prices)
    By Brijesh Patel
    Nov 11 (Reuters) - Gold fell as much as 1.1% on Wednesday,
hurt by a stronger dollar, while optimism around a potential
COVID-19 vaccine raised hopes for a quick economic rebound,
driving investors towards riskier assets.
    Spot gold        fell 0.7% at $1,864.38 per ounce by 1:42
p.m. EST (1842 GMT). U.S. gold futures        settled down 0.8%
to $1,861.60.
    "Gold's got two things working against it, strong equities
and a strong dollar at this point. It's hard for gold to
continue to rally given those two markets being up higher," said
Bob Haberkorn, senior market strategist at RJO Futures.
    "The flight to safety in the precious metals that we had
last week after the U.S. elections is gone away on the back of
coronavirus vaccine news."
    Denting gold's appeal, the dollar        rose 0.3% to a near
one-week high, making bullion more expensive for holders of
other currencies.       
    Risk sentiment among investors gained as prospects of an
effective COVID-19 vaccine overshadowed worries over surging
infections.            
    But the breakthrough highlighted the logistical challenges
of distributing hundreds of millions of doses once they become 
available.              
    "Given the reaction we've seen to vaccine news in recent
days, the immediate downside risks for gold have undoubtedly
increased," OANDA analyst Craig Erlam said in a note.
    "The key area remains between $1,850-$1,860 and it's looking
very vulnerable in the near-term." However, "the longer term
prospects for gold are bullish, the road to recovery will take
time and require more central bank and government support."
    Federal Reserve policymakers on Tuesday highlighted the need
for more targeted fiscal support from the government.
            
    Gold, which has risen more than 22% this year, tends to
benefit from widespread stimulus measures from central banks
because it is widely viewed as a hedge against inflation and
currency debasement.
    Silver        rose 0.1% to $24.24 per ounce. Platinum       
fell 2% to $865.28 and palladium        shed 5.6% to $2,316.20.

 (Reporting by Brijesh Patel in Bengaluru
Editing by Nick Zieminski and Marguerita Choy)
  
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