REFILE-PRECIOUS-Gold up on weaker dollar; presidential debate in focus

(Corrects to adds dropped word "percent" in third bullet point)
    Oct 10 (Reuters) - Gold rose early Monday, after marking a
four-month low in the prior session, supported by an easing
dollar, with markets eyeing the second U.S. presidential debate
between candidates Hillary Clinton and Donald Trump.
    * Spot gold was up 0.6 percent at $1,263.80 an ounce
by 0110 GMT. The yellow metal touched a session low of $1,241.20
on Friday, a bottom since June 7. 
    * U.S. gold futures rose over one percent to
$1,266.10 an ounce.
    * Spot gold ended about 4.5 percent lower last week, its
biggest weekly decline since November 2015.
    * The dollar index, which measures the greenback
against a basket of six major currencies, fell 0.2 percent to
    * The controversy over Republican candidate Donald Trump's
vulgar comments about women has increased U.S. financial
markets' expectations that his Democratic rival Hillary Clinton
will win the White House and give a boost to securities.
    * Trump on Sunday struck a defiant tone in the face of calls
for him to abandon the U.S. presidential race, attacking
prominent Republicans and saying he had "tremendous support".
    * Clinton and Trump will square off from 0100 GMT in their
second of three debates before the U.S. presidential election on
Nov. 8. 
    * U.S. employment growth eased for the third straight month
in September and the jobless rate rose, but the slowdown was not
expected to prevent the Federal Reserve from raising interest
rates later this year. 
    * The U.S. economy's readiness - or not - for an interest
rate rise is likely to once again take the global economic
spotlight this week, just a month before a hotly contested U.S.
presidential election. 
    * Holdings of the SPDR Gold Trust, the world's largest
gold-backed exchange-traded fund, rose 1.19 percent to 958.90
tonnes on Friday. 
    * Hedge funds and money managers reduced their net long
positions in COMEX gold contracts to four-month lows in the week
to Oct. 4, as prices tumbled, U.S. government data showed.
    * Randgold Resources said on Sunday that it is
seeking to resolve a tax dispute with the Malian government,
adding that the disagreement has not affected operations at its
three mines in the West African country. 
    * Demand for gold in Asia edged up this week as prices
hovered near their lowest since early June, while discounts in
India narrowed the most in 8-1/2 months as a fall in prices
prompted buying during the festive season. 
    * Bank of America Merrill Lynch lowered its gold price
forecast to $1,301 per ounce from $1,323 per ounce for 2016.
    * For the top stories on metals and other news, click
    0600  Germany          Trade data             August
    0830  Euro zone        Sentix index           October
    1400  U.S.             Employment trends      September 

 (Reporting by Swati Verma in Bengaluru; Editing by Richard