(Updates prices)
* British lawmakers to vote on no-deal Brexit at 1900 GMT
* SPDR gold holdings rise for second day
* Silver hits highest since March 1By Sumita LayekMarch 13 (Reuters) - Gold rose to a near two-week peak onWednesday, holding above the key $1,300 mark as uncertainty overBritain's exit from the European Union drove investors to safehaven assets.
Spot gold was up 0.4 percent at $1,306.38 per ounce,at 1250 GMT, having hit its highest since March 1 at $1,308.98.U.S. gold futures rose 0.7 percent to $1,306.80.The Brexit vote on Tuesday has given gold a bit of lift,said Quantitative Commodity Research analyst Peter Fertig.
"We have speculators all over the world betting that retailclients are going to buy gold because they could be fearing ahard Brexit, which is now more likely, and they would like to beprotected against the negative consequences," he said.
Prime Minister Theresa May suffered a second defeat for herBrexit plan, plunging Britain deeper into a political crisisbefore the planned EU departure date on March 29. Bullion, considered a refuge in times of political andeconomic uncertainty, has gained about 13 percent since touchingover one-and-a-half year lows in August last year.
"The fact that the precious metal has breached the $1,300threshold represents a positive signal, opening space forfurther gains," ActivTrades chief analyst Carlo Alberto De Casasaid in a note.British lawmakers are now expected to reject a no-dealBrexit in a vote at 1900 GMT, and then due to vote again onThursday on whether to ask for a delay to Brexit, something towhich all the EU's other 27 members must agree. World shares slipped amid mounting concern over world growthand trade, while the dollar index fell against a basketof currencies.Adding to gold's appeal were growing concerns over globaleconomic growth. Modest U.S. inflation numbers added to a slew of lacklustreeconomic data from the country, supporting the Federal Reserve's"patient" stance on rate hikes.Higher rates tend to reduce investor interest innon-yielding bullion.Investors are also keeping a close eye on next week's Fedmeeting and clarity on the U.S.-China trade front. Holdings in the world's largest gold-backed exchange-tradedfund, SPDR Gold Trust , rose about 0.4 percent on Tuesday,a second straight day of gains. Among other precious metals, palladium climbed 0.6percent to $1,550.91 per ounce, while platinum rose 0.6percent to $842.39. Silver was up 0.1 percent to $15.45per ounce, having earlier touched its highest since March 1. (Reporting by Sumita Layek in Bengaluru; editing by David Evansand Kirsten Donovan)
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