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        Gold climbed and palladium hit a record high


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Gold rose on Wednesday on concerns that the US government's position on Hong Kong could hinder trade negotiations between China and the US, and investors are waiting for a key EU summit to determine the fate of the UK's exit from Europe. However, palladium, affected by supply shortages, once again hit a record high, eclipsing gold's gains.
Spot gold rose 0.5% to $1488.84 an ounce at 1751 GMT. US gold futures rose 0.7% to $1494 an ounce.
The U.S. House of Representatives on Tuesday passed four bills that take a tough stance on China, three of which are related to the protests in Hong Kong, which has renewed tensions between China and the United States and triggered strong opposition from China.
"A lot of people think that [the US passed the bill on Hong Kong protests] will hinder tariff negotiations [between China and the US], so once again, when there is a problem in tariff negotiations, people turn to gold again," said Michael matousek, chief trader of U.S. global investors.
Analysts were also cautious about the outcome of the EU summit in Brussels on Thursday and Friday, which focused on brexit. The summit will decide whether Britain can reach an agreement on brexit before the deadline, or withdraw disorderly, or postpone brexit again.
The fall in US equities also helped gold prices, as traders worried that the Hong Kong Bill would offset positive performance reports.
Investors are also waiting for a meeting of the Federal Reserve at the end of the month to see if the Fed will cut rates further.
Gold holdings in SPDR gold, the world's largest gold listed trading fund, fell to 919.66 tons on Tuesday, but are still close to their highest level in nearly three years.
Palladium rose 1.9% to $1766.16 an ounce, earlier hitting a record high of $1779.23 an ounce.


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