Gold, Silver Weaker Amid Upbeat Trader Attitudes
(Kitco News) - Gold and silver prices are slightly lower in early U.S. trading Monday. It’s a quieter and uneventful marketplace to start the trading week. Rallying U.S. stock indexes that hit multi-week highs overnight suggest keener risk appetite in the marketplace at present, which is bearish for safe-haven gold and silver. The gold and silver market bulls are encouraged by recent price action that suggests these metals have put in near-term market bottoms. June Comex gold futures were last down $0.90 an ounce at $1,319.80. July Comex silver was last down $0.072 at $16.68 an ounce.
World stock markets were mixed in quieter trading overnight. European indexes were mostly weaker and Asian stocks were mostly higher. U.S. stock indexes are pointed toward modestly higher openings when the New York day session begins.
Focus of the marketplace this week will be on U.S. trade meetings with China that begin in the U.S. Tuesday, and a possible U.S. decision on the NAFTA trade agreement with Mexico.
The key “outside markets” today find Nymex crude oil prices slightly higher and not far below $71.00 a barrel. The U.S. dollar index is weaker on more profit taking after hitting a 4.5-month high last week.
There is no major U.S. economic data due for release Monday.
Technically, June gold bulls and bears are on a level overall near-term technical playing field. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at $1,350.00. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at $1,300.00. First resistance is seen at last week’s high of $1,326.30 and then at $1,330.00. First support is seen at $1,315.00 and then at $1,310.00. Wyckoff's Market Rating: 5.0
July silver futures bulls and bears are also on a level overall near-term technical playing field. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance the April high of $17.425 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $16.00. First resistance is seen at last week’s high of $16.865 and then at $17.00. Next support is seen at $16.50 and then at last week’s low of $16.335. Wyckoff's Market Rating: 5.0.