Feb 17 (Reuters) - Gold prices edged higher on Monday after falling more than 1% in the previous session as market participants awaited more insights on U.S. President Donald Trump's reciprocal tariff plans, which could heighten global trade tensions.

FUNDAMENTALS

* Spot gold XAU= rose 0.1% to $2,885.95 per ounce, as of 0016 GMT. Bullion has hit a record peak of $2,942.70 on February 11.

* U.S. gold futures GCcv1 fell 0.1% to $2,897.10.

* Trump on Friday kept alive his drumbeat of tariff threats, saying levies on automobiles would be coming as soon as April 2, the day after members of his cabinet are due to deliver reports to him outlining options for a range of import duties as he seeks to reshape global trade.

* Meanwhile, U.S. retail sales on Friday dropped by the most in nearly two years in January, suggesting a sharp slowdown in economic growth early in the first quarter.

* However, traders expect the Federal Reserve will not cut interest rates until second half of the year due to concerns over high inflation.

* U.S. Secretary of State Marco Rubio on Sunday said Ukraine and Europe would be part of any "real negotiations" to end Moscow's war, signaling that U.S. talks with Russia this week were a chance to see how serious Russian President Vladimir Putin is about peace.

* In other precious metals, spot silver XAG= fell 0.2% to $32.08 an ounce, after hitting its highest level since October 31, 2024 on Friday, latching on to factors that drove gold to successive record highs, with some analysts suggesting investors in the metal may aim to challenge a 10-year high.

* Platinum XPT= was up 0.3% at $982.55 and palladium XPD= climbed 1.3% to $974.08.

(Reporting by Anushree Mukherjee in Bengaluru)

((anushree.ashishMukherjee@thomsonreuters.com;))