PRECIOUS-Gold slips to one-week low as trade deal hopes boost risk appetite

Reuters

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    * Gold's break below key moving averages a bearish sign-
traders
    * Mnuchin says he hopes trade talks nearing 'final round'
    * Silver hits 3-1/2-month lows

 (Updates prices)
    By Brijesh Patel and Sumita Layek
    April 15 (Reuters) - Gold fell to its lowest in more than a
week on Monday as hopes the United States and China would reach
a trade deal lifted appetite for riskier asset even as the
dollar retreated.
    Spot gold  XAU=  was down 0.2 percent at $1,287.61 per ounce
at 1:45 p.m. EDT (1745 GMT), off a low of $1,281.96, its lowest
since April 4. U.S. gold futures  GCcv1  settled down 0.3
percent at $1,291.30 an ounce.
    U.S. Treasury Secretary Steven Mnuchin said on Saturday he
hoped Washington and Beijing were "close to the final round" of
negotiations to resolve the trade dispute between the world's
two biggest economics. urn:newsml:reuters.com:*:nL1N21V0AG
    Signs the two countries were heading for a deal to end the
bitter dispute - marked by tit-for-tat tariffs that have cost 
the two economies billions and rattled financial markets -
lifted investor sentiment and dented demand safe-haven gold.
    "Overall, people are not enchanted by gold, they don't see a
lot of upside potential in it," said Miguel Perez-Santalla, vice
president of Heraeus Metal Management in New York
    U.S. data last week showing import prices rose for a third
straight month in March, coupled with positive Chinese export
and euro zone industrial production numbers, assuaged some
concerns over global growth, also limiting demand for gold.
 urn:newsml:reuters.com:*:nL1N21T18L  MKTS/GLOB 
    On the technical front, prices fell below the 100-day moving
average around $1,287, which traders said could be a bearish
signal. The metal also broke below the key psychological $1,300
mark last week, pointing to a further negative bias.
    "Gold is coming towards the support level of $1,280. People
are anticipating that if gold dips in this level and the buyers
step back in, it might create a short-term bottom, making it an
opportunistic time to start pursuing gold," said Michael
Matousek, head trader at U.S. Global Investors.
    "Overall, this week is going to be really slow in terms of
volume, as the prices will fluctuate; it will seem a little more
volatile because there will be less market participants."
    Spot platinum  XPT=  and palladium  XPD=  fell 0.5 percent
to $881.50 per ounce and to $1,364.38 per ounce, respectively.
    Silver  XAG=  rose 0.2 percent to $14.98 an ounce. Earlier
in the session prices touched their lowest since Dec. 26 at
$14.81.

 (Reporting by Brijesh Patel and Sumita Layek; additional
reporting by Nallur Sethuraman in Bengaluru; Editing by Dale
Hudson, Kirsten Donovan and Susan Thomas)
 ((Brijesh.Patel1@thomsonreuters.com; Within U.S. +1 651 848
5832, Outside U.S. +91 8067493865; Reuters Messaging:
Brijesh.Patel1.thomsonreuters.com@reuters.net))

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