Dec 21 (Reuters) - Gold prices firmed on Monday as investors
cheered news that a U.S. fiscal stimulus deal was likely to be
passed, although gains were capped by a stronger dollar.
FUNDAMENTALS
* Spot gold XAU= rose 0.4% to $1,888.76 per ounce by 0048
GMT. U.S. gold futures GCv1 firmed 0.2% to $1,892.80.
* U.S. congressional leaders have reached agreement on a
$900 billion package to provide the first new aid in months to
the coronavirus-hit economy, the Senate's top Republican and
Democrat said on Sunday, with votes likely on Monday.
* Meanwhile, COVID-19 infections continued to soar globally
as South Korea and London reported record new coronavirus cases
on Sunday, with Britain's health minister suggesting tighter
curbs could stay for some time.
* The U.S. dollar rose 0.2% against its major peers,
reducing bullion's appeal to holders of other currencies. USD/
* Britain insisted on Sunday the European Union should shift
position to open the way to a post-Brexit trade pact, prompting
the bloc's negotiator to defend the union's right to protect its
interests. * Physical gold in India was sold at a discount last week for
the first time in six weeks as a rebound in local prices
squeezed demand, while purchases slowed in other Asian hubs
ahead of the year-end holidays. * Russia's gold reserves stood at 73.9 million troy ounces as
of the start of December, the central bank said on Friday.
* Hedge funds and money managers raised their bullish
positions in COMEX gold and silver contracts in the week to Dec.
15, the U.S. Commodity Futures Trading Commission (CFTC) said on
Friday. * Silver XAG= rose 0.9% to $26.01 per ounce. Platinum
XPT= was up 0.1% at $1,036.75 and palladium XPD= fell 0.1%
to $2,358.71.
DATA AHEAD(GMT)
1500 Dec. Eurozone Flash Consumer Confidence