(Corrects third bullet point to show dollar index was down 0.1 percent, not up) Dec 1 (Reuters) - Gold prices edged higher early Friday, after marking a 3-1/2 week low in the previous session, as the dollar weakened slightly after the progress on U.S. tax legislation hit a roadblock. FUNDAMENTALS * Spot gold was up 0.1 percent at $1,275.61 an ounce at 0119 GMT. On Thursday, it fell 0.7 percent to touch its lowest since Nov. 6 at $1,270.11. The yellow metal is down nearly 1 percent for the week. * U.S. gold futures gained 0.1 percent at $1,274.30. * The dollar index , which gauges the greenback against a basket of six major rivals, was down 0.1 percent. * The Republican tax overhaul stalled on a procedural issue in the U.S. Senate on Thursday, forcing lawmakers to weigh new options to an amendment sought by a leading fiscal hawk to address the bill's projected large expansion of the federal deficit. * U.S. consumer spending slowed in October as the hurricane-related boost to motor vehicle purchases faded, while a sustained increase in underlying price pressures suggested that a recent disinflationary trend had probably run its course. * U.S. President Donald Trump dismissed a Chinese diplomatic effort to rein in North Korea's weapons program as a failure on Thursday, while Secretary of State Rex Tillerson said Beijing was doing a lot, but could do more to limit oil supplies to Pyongyang. * The Senate Banking Committee will vote on Tuesday on the nomination of Federal Reserve Governor Jerome Powell to lead the U.S. central bank, the panel said in a statement. * Asian shares pushed higher on Friday, cheered by Wall Street gains after apparent progress on U.S. tax legislation as investors waited for the Senate's vote. * A Bank of England policymaker said Britain must not fall into an illusion about its public debt, which soared after the financial crisis and could pose a threat to the country's economy, despite the lack of apparent concern among investors now. * Sales of U.S. Mint American Eagle gold and silver coins fell sharply year-over-year in November, keeping their tally for the first 11 months of 2017 on track for the weakest year since 2007, the latest data showed on Thursday. DATA/EVENT AHEAD (GMT) 0145 China CAIXIN PMI Nov 0850 France Final Manufacturing PMI Nov 0855 Germany Final Manufacturing PMI Nov 0900 Euro Zone Final Manufacturing PMI Nov 0930 U.K. Manufacturing PMI Nov 1445 U.S. MARKIT Manufacturing PMI Nov 1500 U.S. ISM Manufacturing activity index Nov 1500 U.S. Construction spending Oct (Reporting by Vijaykumar Vedala in Bengaluru; Editing by Michael Perry)
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