* Palladium hits fresh high of $1,783.21/oz
* GRAPHIC-Platinum/palladium ratio: (Adds comments, updates prices)By Eileen SorengOct 17 (Reuters) - Gold edged up on Thursday as investorsfocused on lingering uncertainties over U.S.-China trade ties,while deficit-ridden palladium soared to another record high.
Spot gold rose 0.3% to $1,494.05 per ounce at 1336GMT. U.S. gold futures also rose 0.3% to $1,497.90.Gold denominated in sterling had slid as much as1.6% to its lowest since July 26 at 1,141.86 pounds an ounceearlier in the session after Britain and the European Unionagreed to a new Brexit deal.
The agreement comes more than three years after Britonsvoted to leave the bloc, but Prime Minister Boris Johnson stillfaces a knife-edge vote in parliament to get it approved. "(The) market will put this (Brexit) very quickly behind it,don't expect any long lasting impact and the focus entirely willbe on the second big issue - the ongoing (U.S.-China) tradeconflict and looming uncertainty about the kind of agreementthat was reached," Commerzbank analyst Carsten Fritsch said.
In U.S.-China trade talks, negotiators were working onnailing down a phase 1 trade deal text for their presidents tosign next month, U.S. Treasury Secretary Steven Mnuchin said onWednesday. Also helping prop up gold, the dollar fell to an overone-month low.Weak U.S. retail sales data released on Wednesday fannedfears about the health of the world's biggest economy, aidingthe safe-haven sentiment for bullion.On the technical front, support lay around $1,475 andresistance, around resistance, around $1,515, said AfshinNabavi, senior vice president at precious metals trader MKS SA."A break of $1,525 should be able to bring in moreaggressive buying."Meanwhile, palladium fell 0.2% to $1,763.34 an ounce,after hitting an all-time high of $1,783.21 earlier in thesession.
Palladium is crucial in the making of catalytic convertersused in exhaust systems of vehicles, and concerns over itssupply running out have helped lift prices by more than 41% thisyear alone, despite a weakening auto sector."The fundamental data is deteriorating but completely beingignored by the market. Don't know for how long market can turn ablind eye on that (with the) very dire state of the global carmarket," Commerzbank's Fritsch said.Platinum increased by 0.6% to $887.87 per ounce andsilver climbed 0.8% higher to $17.52.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^Palladium's record run ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Reporting by Eileen Soreng and Asha Sistla in Bengaluru;Editing by Rashmi Aich)