Gold near 3-week high on softer US dollar, geopolitical concerns
Nov 25 (Reuters) -Gold prices ticked higher on Monday, nearing a three-week high, supported by a weaker U.S. dollar and safe-haven demand amid rising geopolitical tensions, as investors awaited more data to gauge the U.S. Federal Reserve's policy outlook.
FUNDAMENTALS
* Spot gold XAU= rose 0.2% to $2,719.19 per ounce as of 0014 GMT and was set for its sixth consecutive session of gains.
* U.S. gold futures GCv1 edged 0.3% higher to $2,721.10.
* The dollar index .DXY dipped 0.5%, boosting gold's appeal for holders of other currencies. The benchmark 10-year Treasury yields also declined. USD/ US/
* Hezbollah fired heavy rockets at Israel on Sunday, following an Israeli airstrike that killed at least 29 in Beirut. There were reports of damage near Tel Aviv.
* Meanwhile, in Russia two Ukrainian missiles and 27 drones were destroyed over the Kursk region, the governor of the region bordering Ukraine said.
* Bullion tends to shine during periods of geopolitical tension, economic risks and in low interest rate environment.
* Markets currently estimate a 51% chance of a 25-basis-points Fed rate cut in December, according to the CME Group’s FedWatch Tool.
* Data on Friday showed that U.S. consumer sentiment ticked up for a fourth straight month in November, led by a big upswing in sentiment among Republicans following Donald Trump's victory.
* Key events this week include the Fed's November FOMC meeting minutes, GDP data (first revision) and core PCE figures, all of which could provide further cues into the rate outlook.
* Gold premiums in India dipped last week as rising local prices cooled demand, while bullion interest in China and other Asian markets stayed muted. GOL/AS
* Spot silver XAG= gained 0.2% to $31.39 per ounce, platinum XPT= rose 0.34% to $966.88 and palladium XPD= added 0.8% to $1,017.28.
Reporting by Daksh Grover in Bengaluru; Editing by Sumana Nandy
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