NEW DELHI:  Goldprices edged higher on Friday and were set for their first weekly gain in onemonth, supported by a softer dollar and caution about developments in Sino- UStrade talks.

Spot gold was up 0.3% at $1,503.20 per ounce, as of 0353GMT, and was on track for its first weekly gain in four, having risen nearly 1%so far this week.

US gold futures were also up 0.3% at $1,510.9 per ounce.

A weaker US dollar is giving gold a little bit of an upwarddrift,” Michael McCarthy, chief market strategist at CMC Markets said, addingthat “prices are still very much in the middle of a trading range and pinned to$1,500 level.”

The dollar nursed losses against most major currencies onFriday, as central banks in Switzerland and the UK refrained from cuttingrates, while risk appetite ebbed on caution about US- China trade talks.

“Investors are all waiting on any further developments inthe trade negotiations as they move towards October meeting and that mayprovide next big driver for gold prices,” McCarthy said.

US and Chinese deputy trade negotiators resumed face-to-facetalks for the first time in nearly two months on Thursday, trying to lay thegroundwork for high-level talks in early October.

Gold prices have risen about 17% this year mainly on theback of a the US -China trade tensions, concerns over the outlook for theglobal economy and the prospect of monetary easing by central banks.

The Fed had cut interest rates for the second time this yearon Wednesday to help sustain economic expansion but gave mixed signals onfuture rate cuts.

The precious metal will remain supported as investorsdeliberate heightened market risks and accommodative economic policies for thenear term, Phillip Futures analyst Benjamin Lu said in a note.

On the technical front, signals are mixed for spot gold asit is stuck in a narrow range of $1,488-$1,514 per ounce, according to Reuterstechnical analyst Wang Tao.

Elsewhere, palladium gained 0.7% to $1,634.74 per ounce,having earlier climbed to a fresh record peak of $1,635.55.

Platinum rose 0.5% to $942.00 per ounce and silver was up0.6% at $17.88.