(Corrects date in dateline to Oct. 11)
Oct 11 (Reuters) - Gold prices edged lower on Friday as U.S.
President Donald Trump's remarks on progress in Sino-U.S. trade
talks lifted risk appetite, while palladium was set to end a
three-day winning streak after touching a record high in the
previous session.
FUNDAMENTALS
* Spot gold XAU= was down 0.2% at $1,491.12 per ounce, as
of 0105 GMT. U.S. gold futures GCcv1 dipped 0.2 % to
$1,498.50.
* Spot Palladium XPD= shed 0.1% to $1,698.06 per ounce,
after hitting an all-time peak of $1,704.59 on Thursday.
* Top U.S. and Chinese negotiators wrapped up a first day of
trade talks in more than two months on Thursday as business
groups expressed optimism the two sides might be able to ease a
15-month trade war and delay a U.S. tariff hike scheduled for
next week. * U.S. President Donald Trump said trade talks between U.S.
and Chinese officials on Thursday went very well and the two
sides had a very, very good negotiation. * Negotiators could agree to low-level "early harvest"
agreements on issues such as currencies and copyright
protections, despite increased irritants between the world's two
largest economies, a U.S. Chamber of Commerce official briefed
by both sides said.
* Shares in Asia and U.S. stock futures rose on Friday, with
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS was up 0.4%. MKTS/GLOB
* A 15-month trade war between the two countries has fanned
financial market fears of a recession.
* On the data-front, U.S. consumer prices were unchanged in
September and underlying inflation retreated, supporting
expectations the Federal Reserve will cut interest rates in
October for the third time this year amid risks to the economy
from trade tensions. * The U.S. economy will likely skirt a serious downturn
despite current risks from trade and a slowing global economy,
Cleveland Fed President Loretta Mester said. * Irish Prime Minister Leo Varadkar said on Thursday a
Brexit deal could be clinched by the end of October to allow the
United Kingdom to leave the European Union in an orderly
fashion, after what he called a very positive meeting with Boris
Johnson. * SPDR Gold Trust GLD , the world's largest gold-backed
exchange-traded fund, said its holdings fell 0.22 percent to
921.71 tonnes on Thursday from 923.76 tonnes on Wednesday.
* HSBC Bank said it forecasts end of year gold prices for
2019 and 2020 at $1,555 per ounce and $1,605 per ounce
respectively. AHEAD (GMT)
0600 Germany HICP Final YY Sept
1200 India Industrial Output YY Aug
1400 US U Mich Sentiment Prelim Oct