Gold, silver slightly down in quiet session
(Kitco News) - Gold and silver futures prices are slightly lower in quiet midday U.S. trading Tuesday. Trader and investor risk appetite is waning as the raging Covid-19 pandemic is taking a steady toll on marketplace psychology. However, such could not energize the gold and silver market bulls today. Nor could a lower U.S. dollar index today. December gold futures were last down $1.80 at $1,886.00 and December Comex silver was last down $0.172 at $24.635 an ounce.
Global stock markets were mixed overnight, while U.S. stock indexes are mixed to lower at midday. The Dow and S&P 500 stock indexes had reU.S. dollar indexcord-high closes Monday. However, more and more U.S. states are imposing restrictions on businesses and public gatherings, as Covid-19 rages and many hospital beds are full or close to it. This atmosphere in the U.S. and in Europe cannot help but dent trader and investor risk appetite heading into holidays that are likely to see families separated. Despite the very encouraging news on the vaccine front seen recently, there are dark days that lie ahead for the U.S., Europe and other countries hard hit by the pandemic.
It could also be that trader/investor sentiment has been somewhat dented by reports the Trump administration is planning to take a very hard line on China over the next two months, before Trump leaves office, including reportedly taking some steps that the incoming Biden administration would find hard to roll back. Just today, the U.S. Securities and Exchange Commission (SEC) came out with a plan to require Chinese companies traded on U.S. stock exchanges to have auditors overseen by the U.S. If the Chinese firms won’t comply they get shut out of U.S. stock exchanges.
The U.S. dollar index is lower again today. The greenback continues to suffer on the foreign exchange market as the USDX is not far above its recent low. The other important outside market sees crude oil prices weaker and trading around $41.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note futures is currently trading at 0.88%.
Technically, December gold futures bulls have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close in December futures above solid resistance at the November high of $1,966.10. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the November low of $1,848.00. First resistance is seen at $1,900.00 and then at $1,920.00. First support is seen at this week’s low of $1,861.50 and then at $1,848.00. Wyckoff's Market Rating: 6.5
December silver futures bulls have the overall near-term technical advantage. Silver bulls' next upside price objective is closing prices above solid technical resistance at the November high of $26.135 an ounce. The next downside price objective for the bears is closing prices below solid support at the September low of $21.81. First resistance is seen at this week’s high of $25.155 and then at $25.50. Next support is seen at this week’s low of $24.555 and then at last week’s low of $23.60. Wyckoff's Market Rating: 6.5.
December N.Y. copper closed down 245 points at 319.75 cents today. Prices closed nearer the session low today on profit taking from recent gains. The copper bulls still have the solid overall near-term technical advantage. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at 350.00 cents. The next downside price objective for the bears is closing prices below solid technical support at the November low of 302.85 cents. First resistance is seen at today’s high of 323.95 cents and then at this week’s high of 326.25 cents. First support is seen at today’s low of 317.65 cents and then at 315.00 cents. Wyckoff's Market Rating: 8.0.