CORRECTED-PRECIOUS-Gold rises from 1-mth lows; platinum at discount to palladium

 (Corrects headline to show platinum at discount to palladium,
not vice-versa)
    Sept 28 (Reuters) - Gold rose on Thursday after falling to
one-month lows on expectations of a rise in U.S. interest rates
this year, while platinum fell to a discount against palladium
for the first time since 2001 on waning demand for diesel cars. 

    * Spot gold        rose 0.3 percent to $1,284.36 per ounce
at 0127 GMT after it revisited the previous session's low of
$1,280.72 an ounce, the lowest since Aug. 25
    * U.S. gold futures         for December delivery fell 0.1
percent to $1,287.00 per ounce.
    * Palladium        hit price parity with its better-known
sister metal platinum        on Wednesday for the first time
since 2001, as demand expectations for the two assets diverge.
    * Platinum is more heavily used in diesel vehicles that have
fallen out of favour since 2015's Volkswagen emissions-rigging
scandal. Palladium has benefited from the switch to petrol
engines and expectations for growth in hybrid electric vehicles,
which tend to be gasoline-powered. 
    * President Donald Trump on Wednesday proposed the biggest
U.S. tax overhaul in three decades, offering to cut taxes for
most Americans but prompting criticism that the plan favours the
rich and companies and could add trillions of dollars to the
    * The dollar on Wednesday climbed to a one-month high
against a basket of currencies, while financial stocks and
Treasury yields rose after strong economic data helped boost
expectations for a U.S. Federal Reserve interest rate hike in
    * New orders for U.S.-made capital goods increased more than
expected in August and shipments maintained their upward trend,
pointing to underlying strength in the economy despite an
anticipated drag on growth from Hurricanes Harvey and Irma.
    * Gold smuggling in India, the world's second-biggest
consumer of the metal, is likely to rise during the country's
peak holiday season as buyers try to avoid paying a new sales
tax and to dodge new transparency rules.             
    * The Fed has no need to raise interest rates anytime soon
because U.S. economic growth will not rise appreciably over 2
percent this year and inflation will likely remain low, St.
Louis Fed President James Bullard said on Wednesday.
    * The "reflation," or "Trumpflation," trade that drove
financial markets after Trump's surprise U.S. presidential
election victory last November made a comeback on Wednesday as
the unveiling of Trump's long-promised tax overhaul revived bets
that markets would benefit from both faster economic growth and
    0900  E.U.   Business Climate         Sept 
    1230  U.S.   GDP Final                Q2 
    1230  U.S.   Core PCE Prices Final    Q2 
    1230  U.S.   Adv Goods Trade Balance  Aug 
    1230  U.S.   Initial Jobless Claims   weekly 

 (Reporting by Nithin Prasad in Bengaluru; Editing by Richard