(Updates prices)

    * Trump says trade deal with China going "very well"

    * Palladium hits fresh record high of $1,874.50/oz
    
 * GRAPHIC-2019 asset returns: tmsnrt.rs/2jvdmXl

    By Asha Sistla

    Dec 5 (Reuters) - Gold prices inched up on Thursday as

conflicting signals from Washington and Beijing prolonged

uncertainty about a trade deal, a day after positive comments on

the talks by U.S. President Donald Trump knocked bullion off its

one-month high.

    Gold rose to $1,484 on Wednesday, its highest since Nov. 7,

but settled lower after Trump said that trade talks with China

were going "very well".             

    That came a day after Trump dented hopes for a trade

resolution when he said an agreement might have to wait until

after the U.S. presidential election in November 2020.    

Spot gold        was up 0.1% at $1,475.58 per ounce, as of

0811 GMT on Thursday, and U.S. gold futures         were up 0.1%

at $1,480.90 per ounce.

"Trump mentioned he is happy to wait a year for the China

deal to happen and we are not sure whether the first agreement

has been inked yet and that's what everybody is looking for,"

said Brian Lan of Singapore dealer GoldSilver Central.

"Gold has always had the safe-haven asset status and people

hold on to gold when they don't know what's going to happen ...

U.S. dollar has weakened a bit and that has also helped push

gold prices at this time."

The dollar index extended losses and was down 0.1%,

making gold cheaper for investors holding other currencies.

Gains in bullion, however, were limited as stocks

strengthened after a Bloomberg report on Wednesday that the two

sides were close to a "phase one" deal, and Trump's positive

comments on trade.            

 A further 15% U.S. tariff on about $156 billion worth of

Chinese imports is set to take effect on Dec. 15. Washington and

Beijing have yet to ink a so-called "phase one" agreement

announced in October, which had raised hopes of a de-escalation.

Gold has gained about 15% so far this year, which could be

its biggest annual gain since 2010, mainly bolstered by the

impact of the prolonged U.S.-China trade war on the global

economy.

"With doubts emerging about a U.S.-China trade talk, we

expect investor demand for safe-haven assets, such as

gold-backed ETFs, to increase," ANZ analysts said in a note.

In other precious metals, palladium        edged 0.1% higher

to $1,871.00 per ounce, after hitting a fresh peak of $1,874.50.

"Tougher environmental regulations are also boosting

palladium demand ... As the average loading of palladium  in

autocatalysts increases, we expect to see an ongoing surge in

demand for palladium-rich autocatalysts," ANZ said.

Silver rose 0.4% to $16.89, while platinum was

up 0.1% at $896.00 per ounce.

 (Reporting by Asha Sistla in Bengaluru, Editing by Sherry

Jacob-Phillips and Muralikumar Anantharaman)

The article was reprinted from Reuters.