* Dollar hits near one-week high
* Equities hit by halted vaccine trials, stimulus talksimpasse
* Interactive graphic tracking global spread of coronavirus: (Updates prices)By Brijesh PatelOct 14 (Reuters) - Gold prices rose on Wednesday after thelast session's sharp drop spurred demand for the safe-havenmetal from investors worried about global economic recovery anduncertainty surrounding next month's U.S. presidential election.Spot gold was up 0.4% to $1,899.11 per ounce by 1150GMT, after shedding as much as 1.9% on Tuesday in reaction tothe dollar's jump.
U.S. gold futures rose 0.5% to $1,903.60."We're seeing some price recovery as lower prices generatedbuying interest by investors since the general backdrop of goldis still positive," said Commerzbank analyst Carsten Fritsch."Low interest rates, expansion of monetary policy,ballooning public debt, uncertainty regarding U.S. elections;all these factors are supportive for gold prices," he added.Gold is considered a hedge against inflation and currencydebasement amid the unprecedented levels of global stimulus toease the economic blow from the pandemic.
But investors who trim risk assets also tend to shift intothe dollar and fading hopes for a new coronavirus relief packagein the United States and a pause in key COVID-19 vaccine trialsboosted the U.S. currency's appeal, limiting gold's advance.The dollar hit a near one-week high against majorcurrencies. "In the near term, the dollar could continue to rise bothbecause of risk aversion because stimulus seems to be stuck andalso because of (company) earnings forward guidance," saidDailyFx currency strategist Ilya Spivak.Investors also kept an eye on the U.S. presidentialcampaign, with polls showing Democrat rival Joe Biden leadingthe race. On the technical side, "bullion will need to break through$1,920 to have the chance to once again challenge thepsychological threshold of $2,000," ActivTrades chief analystCarlo Alberto De Casa said in a note.Elsewhere, silver rose 0.1% to $24.20 per ounce,platinum gained 0.4% to $868.35 and palladium climbed 1.5% to $2,349.43. (Reporting by Brijesh Patel in BengaluruEditing by Tomasz Janowski and Bernadette Baum)
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