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PRECIOUS-Gold gains more than 1% as focus returns to loose monetary policy

    * Spot gold may test resistance at $1,879/oz - technicals
    * Interactive graphic tracking global spread of coronavirus:
tmsnrt.rs/3mvcUoa

 (Adds comment, adds technicals, updates prices)
    By Eileen Soreng
    Nov 10 (Reuters) - Gold jumped more than 1% on Tuesday,
following a sharp slide in the last session, as focus returned
to the likelihood of more monetary stimulus to revive a global
economy still reeling from the COVID-19 pandemic.
    Spot gold        had risen 1.4% to $1,888.51 per ounce by
0826 GMT, while U.S. gold futures        were 1.7% lower
at$1,886.40.
    Prices slumped as much as 5.2% on Monday after U.S.
drugmaker Pfizer Inc         said its experimental COVID-19
vaccine was more than 90% effective based on initial trial
results.             
    "There remains major doubts over the timeline of the
vaccine's global rollout and its true efficacy and such doubts
may keep gold prices supported until there is more clarity,"
said FXTM market analyst Han Tan. 
    "Negative U.S. real yields as well as prospects of further
monetary policy easing could still inject fresh tailwinds into
the precious metal's sails."
    While vaccine optimism boosted risk appetite, concerns
emerged over its mass roll-out and uncertainties continued to
loom over the impact of surging COVID-19 cases globally.
                         
    Gold tends to benefit from widespread stimulus as it is
considered a hedge against inflation and currency debasement. 
    "If inflation expectations pick up as a result of increased
economic activity from the vaccine, that should keep a lid on
long U.S. real yields and be a supporting driver for gold," said
Lachlan Shaw, head of commodity research at National Australia
Bank.
    Dallas Federal Reserve Bank President Robert Kaplan said on
Monday the resurgence of COVID-19 poses risks to the economy,
while Cleveland Fed President Loretta Mester said the Fed's
emergency lending programs are still needed.             
            
    Spot gold is likely to test resistance at $1,879, a break
above which could push it to $1,894, Reuters technical analyst
Wang Tao said.             
    Silver        gained 1.2% to $24.36 per ounce. Platinum
       climbed 1.3% to $877.28 and palladium        rose 0.3% to
$2,485.68. 

 (Reporting by Eileen Soreng and Nakul Iyer in Bengaluru;
Editing by Ramakrishnan M, Kirsten Donovan)
  
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