- Platinum could be in larger surplus this year - industry body
- Gold unlikely to stage meaningful recovery above $1,800 -analyst
Nov 24 (Reuters) - Gold prices edged higher on Wednesday, though the strength in the U.S. dollar and bets that the Federal Reserve could raise interest rates sooner than anticipated kept the safe-haven metal below the key $1,800 mark.
Spot gold was up 0.2% at $1,793.52 per ounce, as of 0657 GMT, after slipping 0.9% to its lowest since Nov. 5 on Tuesday. U.S. gold futures advanced 0.5% to $1,793.50.
The metal has slumped about 4.5% from last week's five-month high on expectations that Fed Chairman Jerome Powell could accelerate the pace at which the central bank normalises monetary policy amid surging consumer prices.
Those bets helped strengthen the dollar index , which steadied near its highest level in 16 months on Wednesday, adding pressure on bullion as it raises the metal's cost for holders of other currencies.
"Although most of last week's fast-money long positions are probably now closed out, gold is unlikely to stage a meaningful recovery above $1,800 unless U.S. 30-year yields unwinds this week's gains," Jeffrey Halley, senior market analyst at OANDA, said.
U.S. 30-year Treasury yields were not far from their highest level since late-Oct hit earlier this month.
Investor focus has shifted to a deluge of U.S. data including the pivotal Personal Consumption Expenditures Price Index, quarterly GDP and the minutes from the Fed's latest meeting due later in the day.
Hareesh V, head of commodity research at Geojit Financial Services in Kochi, India, said although recent U.S. data including retail sales was positive, uncertainty over the recovery in jobs may prevent the Fed from accelerating taping over the next few months, supporting gold.
Platinum rose 1.3% to $981.86 and palladium gained 2% to $1,905.96.
The World Platinum Investment Council expects a much larger global platinum market surplus this year than its earlier forecast.
Spot silver fell 0.3% to $23.59 per ounce.
Reporting by Nakul Iyer and Seher Dareen in Bengaluru; Editing by Rashmi Aich and Sherry Jacob-Phillips