Gold, silver a bit weaker but up from daily lows
(Kitco News) - Gold and silver prices are slightly down in midday U.S. trading Wednesday. Trader and investor attitudes remain very upbeat at mid-week, which is a negative for the safe-haven metals. However, losses in gold and silver are limited as both metals' near-term technical postures have improved recently. June gold futures were last down $1.60 at $1,741.40 and May Comex silver was last down $0.022 at $25.20 an ounce.
Global stock markets were flat to narrowly mixed overnight. U.S. stock indexes are also mixed at midday. The Dow and S&P 500 indexes have hit record highs this week. Traders and investors continue to exhibit a general "risk-on" mentality that is boosting the equity markets.
The marketplace did not pay much attention to reports an Iranian-backed ship anchored in the Red Sea off the coast of Yemen was attacked. Many believe the assault came from Israel.
In other news, JP Morgan CEO Jamie Dimon said in his annual letter to his shareholders that the U.S. economy is emerging from the pandemic in strong fashion and that the economic boom could last until 2023. He said a "Goldilocks moment" is coming fast, amid sustained economic growth and non-problematic inflation.
The U.S. economic data highlight at mid-week will be the release of the minutes of the last Federal Reserve Open Market Committee (FOMC) meeting, at 2:00 p.m. EDT.
The key outside markets today see the U.S. dollar index near steady at midday. Nymex crude oil prices are weaker and trading around $59.00 a barrel. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.65%.
Technically, June gold futures bears have the overall near-term technical advantage. However, bulls have gained momentum recently as a price downtrend has stalled out and more good buying interest this week would confirm a bullish double-bottom reversal pattern on the daily bar chart, to also suggest a market bottom is in place. Bulls' next upside price objective is to produce a close above solid resistance at $1,756.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,700.00. First resistance is seen at $1,750.00 and then at $1,756.00. First support is seen at today's low of $1,731.20 and then at this week's low of $1,721.60. Wyckoff's Market Rating: 3.5
May silver futures bears have the overall near-term technical advantage. Prices are in a two-month-old downtrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $26.74 an ounce. The next downside price objective for the bears is closing prices below solid support at $23.00. First resistance is seen at this week's high of $25.355 and then at $25.50. Next support is seen at $25.00 and then at this week's low of $24.66. Wyckoff's Market Rating: 3.5.
May N.Y. copper closed down 635 points at 405.20 cents today. Prices closed nearer the session low today. The copper bulls have the firm overall near-term technical advantage. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the February high of 437.55 cents. The next downside price objective for the bears is closing prices below solid technical support at the March low of 384.90 cents. First resistance is seen at today's high of 411.80 cents and then at this week's high of 416.00 cents. First support is seen at today's low of 403.55 cents and then at 400.00 cents. Wyckoff's Market Rating: 7.0.