PRECIOUS-Gold ticks up on U.S. stimulus hopes; strong dollar caps gains

(Adds comments, updates prices)
* Gold up 0.5% this week, silver 2.2%
* Interactive graphic tracking global spread of coronavirus:
https://graphics.reuters.com/world-coronavirus-tracker-and-maps/

By Nakul Iyer
Oct 23 (Reuters) - Gold prices gained on Friday, holding
above the key $1,900 level, as investors pinned hopes on a U.S.
coronavirus relief package eventually getting passed, although a
firmer dollar limited gains.
Spot gold XAU= rose 0.2% to $1,907.96 per ounce by 0747
GMT and is up 0.5% for the week. U.S. gold futures GCv1 gained
0.3% to $1,909.40 per ounce.
Gold is viewed as a hedge against inflation and currency
debasement spurred by stimulus measures.
"Gold is just waiting for U.S stimulus to get through and
before the U.S. presidential election there is uncertainty about
who is going to win, though it won't change the trajectory for
the market," said ANZ commodity strategist Soni Kumari.
Regardless of who wins the election, stimulus measures are
likely to be passed and that will weaken the dollar, which along
with accommodative central bank policies, will be supportive to
gold, Kumari added.
House Speaker Nancy Pelosi on Thursday said negotiators were
making progress in talks with the White House over the
coronavirus fiscal aid package and a deal could be reached
"pretty soon". "If we get the inflation spark, gold can go to $2,000...
without that, I don't think we can get up there," said Stephen
Innes, chief global market strategist at Axi.
Meanwhile, the dollar index .DXY rose 0.1% against a
basket of major currencies, making gold more expensive for other
currency holders. USD/
Market focus now shifts to the Nov. 3 U.S. presidential
election after President Donald Trump and Democratic challenger
Joe Biden offered sharply contrasting views on the pandemic at
the final presidential debate. "Gold will find plenty of willing buyers on dips to $1,900
as investors rotate into haven positioning as the U.S. election
draws nearer," said Jeffrey Halley, senior market analyst at
OANDA.
Silver XAG= fell 0.3% to $24.69 per ounce, but was set for
a weekly rise. Platinum XPT= rose 0.2% to $886.01 and
palladium XPD= gained 0.5% to $2,384.32.