Santa rally creating short-term positive for gold - analyst Gold poised for second straight weekly gain, of 0.5% Dollar hovers close to 1-week low on renewed risk appetite Dec 23 (Reuters) - Gold prices edged up on Thursday in thin year-end trading, as the safe-haven dollar weakened following encouraging studies on the Omicron COVID-19 variant and rising optimism about the global economic outlook. Spot gold rose 0.1% to $1,804.73 per ounce by 0625 GMT, adding about 0.5% for the week so far in what could be its second straight weekly gain. U.S. gold futures climbed 0.3% to $1,807.00. Early trading in Asia saw a global share rally continue and the dollar slide as markets welcomed signs that the Omicron variant of COVID-19 might be less severe than feared, while robust U.S. economic data also helped. The dollar index (.DXY) hovered near a one-week low against riskier rivals, making gold less expensive for holders of non-U.S. currencies. Thin trading and Christmas buying are keeping gold above the $1,800 level, said Michael Langford, director at corporate advisory AirGuide. He added that the rise of risk-on investments ahead of Christmas, called a "Santa Claus rally", was creating a bit of a short-term positive for the metal. An early South African study suggested reduced risks of severe disease in people infected with the Omicron variant versus the Delta one, as well as a lower need for hospitalisation, which a study by London"s Imperial College also found. read more "Gold faces technical resistance at $1,815 and $1,826, with geopolitical risks ahead potentially keeping gold supported despite the tapering narrative," said Nicholas Frappell, a global general manager at ABC Bullion. Tensions between the United States and Russia have heightened, with U.S. officials this week considering export control measures to disrupt Russia"s economy should Russia invade Ukraine. read more Silver rose 0.12 % to $22.80 per ounce, rising 2.1% for the week, the best in six weeks. Platinum climbed 0.5% to $969.50, rising 4.2% for the week, also the best in six weeks. Palladium dropped 1.5% to $1,854.02 but rose 3.3% for the week, rising for the second straight week.