PRECIOUS-Gold dips to two-week low on economic recovery hopes

* U.S. stocks edge higher in choppy trading
* Gold to stay supported, average $1,800/oz in Q4 -SocGen
* For an interactive graphic tracking the global coronavirus
spread, open https://tmsnrt.rs/3aIRuz7 in an external browser

(New throughout, updates prices, market activity and comments)
By Eileen Soreng
May 27 (Reuters) - Gold fell on Wednesday to its lowest
price in two weeks as the easing of coronavirus restrictions
around the world fed optimism that the global economy could
rebound.
Spot gold XAU= eased 0.1% to $1,709.50 per ounce by 1:07
p.m. EDT (1707 GMT). The session low was 1,693.22, its lowest
since May 12.
U.S. gold futures GCcv1 edged 0.1% higher at $1,707.90.
"Stocks are slightly down because of the trade war news that
has come up but safe assets are not gaining anything out of it
because market sentiment is still up," said Bob Haberkorn,
senior market strategist at RJO Futures.
"The trade war issue has taken a back seat as the reopening
of the economies have boosted optimism and raised investor
appetite for riskier assets."
Tai Wong, head of base and precious metals derivatives
trading at BMO, said: "Gold's dip under $1,715-20 on Tuesday is
a technical breakdown and invalidates or pushes back at least
the prospect of a strong rally."
U.S. stocks were mixed in choppy trading, as technology
stocks sold off on worries about Sino-U.S. tensions but some
investors optimistic about a broad economic pickup. .N LIVE/
U.S. President Donald Trump stating Washington was working
on a strong response to Beijing's proposed national security
laws for Hong Kong. This year, gold has gained over 12% so far, and analysts
said the precious metal's overall trajectory was positive,
supported by low interest rates and global political and
economic uncertainties. "Gold is used efficiently to hedge risks in a low real rates
environment as the opportunity cost to hold it is low, we expect
such favourable environment to continue," Societe Generale said
in a note, forecasting prices to average $1,800 per ounce in the
fourth quarter. Elsewhere, palladium XPD= fell 1.34% to $1,929.87 an ounce
and platinum XPT= dipped 0.1% to $829.14, while silver XAG=
rose 1.04% to $17.28.