PRECIOUS-Gold firms as tariff concerns continue to fuel safe-haven demand

By Anushree Mukherjee and Anjana Anil

March 25 (Reuters) - Gold edged up on Tuesday as uncertainty over the Trump administration's tariffs next week continued to drive safe-haven demand amid fears of a U.S economic slowdown and heightened inflation.

Spot gold XAU= was up 0.1% at $3,015.66 an ounce, as of 0644 GMT. U.S. gold futures GCcv1 firmed 0.1% to $3,019.70.

"Uncertainty remains over the extent and scope of upcoming U.S. reciprocal tariffs ... gold continues to find some support as a hedge against potential surprises," said IG market strategist Yeap Jun Rong.

On Monday, President Donald Trump said automobile tariffs are coming while indicating that not all of his threatened levies would be imposed on April 2, a move Wall Street took as a sign of flexibility on a matter that has roiled markets for weeks.

Trump's tariff policies are widely seen as likely to contribute to slowing economic growth, triggering further trade tensions, and driving up inflation.

Atlanta Federal Reserve President Raphael Bostic said he anticipates slower progress on inflation in the coming months and, as a result, now sees the Fed cutting its benchmark rate only a quarter of a percentage point by the end of 2025.

Bullion, seen as a hedge against geopolitical and economic uncertainties, often thrives in a low-interest-rate environment.

Markets are now awaiting the Personal Consumption Expenditures index, the Fed's preferred inflation measure, due on Friday, to gauge the central bank's next policy move.

Meanwhile, funds that invest in gold miners are set to attract their largest net monthly inflows in over a year in March, as record-high gold prices improve firms' profit outlooks and boost cash flows.

Spot silver XAG= rose 0.3% to $33.10 an ounce, platinum XPT= firmed 0.2% to $974.65 and palladium XPD= added 0.2% to $953.53.