Feb 17 (Reuters) - Gold prices rose back above $2,900 per ounce on Monday, supported by a weaker dollar and fears of a trade war as U.S. President Donald Trump threatened reciprocal tariffs.
Spot gold was up 0.5% to $2,897.49 as of 2:10 p.m. ET (1910 GMT), retreating from an intraday high of $2,906.38. It hit a record high of $2,942.70 last week.
U.S. gold futures gained 0.3% to $2,910.30.
The U.S. dollar hovered near a two-month low, making bullion less expensive for buyers holding other currencies.
"Gold is still benefiting from investors looking for safe-haven assets amid concerns of a tariffs and trade war," UBS analyst Giovanni Staunovo said.
"We continue to see upside for gold, with the yellow metal expected to rise to $3,000, benefiting also from ongoing central bank demand."
On Friday, Trump kept to his drumbeat of tariff threats, saying levies on automobiles would come as soon as April 2. It was the latest in a series of trade actions he has unveiled since taking office for the second time.
Ukraine peace talks emerged as a key market focus. U.S. Secretary of State Marco Rubio said on Sunday that Kyiv and Europe would be part of any "real negotiations" to end Russia's war in Ukraine.
"We remain watchful of possible lower central bank demand (for gold) that may arise in the event of a potential Russia/Ukraine peace deal," said Morgan Stanley in a note dated Friday.
Bullion is viewed as a traditional hedge against inflation and geopolitical uncertainties, but higher interest rates dull non-yielding bullion's appeal.
Some Federal Reserve officials are set to speak later in the week, and market participants will be on the watch for any clues on the path for U.S. interest rates. U.S. markets are closed for the Presidents' Day holiday.
Spot silver rose 0.8% to $32.40 an ounce after hitting its highest level since October 31 on Friday.
Platinum fell 0.1% to $979.07, and palladium climbed 1.4% to $974.99.
Reporting by Anjana Anil and Ishaan Arora in Bengaluru; Editing by Emelia Sithole-Matarise and Lisa Shumaker
