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Gold price powers above $2,000 amid high anxiety in marketplace

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(Kitco News) - Gold and silver prices are higher in early U.S. trading Friday, with gold notching a 1.5-year high of $2,007.50 and silver an eight-month high of $26.37. More safe-haven demand is featured early this week amid the war raging in Europe. April gold futures were last up $20.30 at $1,986.60 and May Comex silver was last up $0.081 at $25.86 an ounce.

The all-time high in Comex gold futures was set in August of 2020, at $2,063.00. Palladium and copper futures hit record highs overnight. Crypto currencies are under selling pressure Monday, as traders and investors apparently consider them higher-risk assets.

Global stocks markets were lower overnight and the U.S. stock indexes are pointed toward solidly lower openings when the New York day session begins. Geopolitical tensions remain very high as the Russian invasion of Ukraine is set to enter its second week with no off-ramp seen to the conflict that has also created a humanitarian crisis. The U.S. and Europe are considering banning Russian oil imports, which ratchets up further the anxiety in the marketplace, as well as further stokes inflation that has already become problematic. Said one analyst: "This toxic cocktail poses a huge problem for central banks."


'Tremendous momentum' in gold price: Watch out for next week's U.S. inflation number as geopolitics continue to drive metals

Nymex crude oil prices are sharply higher, at a 14-year high and trading around $123.00 a barrel. Nymex crude prices overnight spiked to a high of $130.50. The all-time high in nearby Nymex crude oil prices was scored in July of 2008, at $147.27 a barrel. The U.S. dollar index is solidly higher again today and hit a 21-month high. The benchmark U.S. 10-year Treasury note is presently yielding 1.73%. Treasury yields have declined recently on flight-to-quality buying of U.S. debt.  

U.S. economic data due for release Monday is light and includes the employment trends index and consumer credit.

Live 24 hours gold chart [Kitco Inc.]

Technically, the April gold futures bulls have the strong overall near-term technical advantage. Prices are in a five-week-old uptrend on the daily bar chart. Bulls' next upside price objective is to produce a close in April futures above major resistance at the record high of $2,063.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,950.00. First resistance is seen at $2,000.00 and then at the overnight high of $2,007.50. First support is seen at today's low of $1,977.00 and then at $1,950.00. Wyckoff's Market Rating: 9.0

Live 24 hours silver chart [ Kitco Inc. ]

May silver futures bulls have the firm overall near-term technical advantage. Prices are in a five-week-old uptrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $27.00 an ounce. The next downside price objective for the bears is closing prices below solid support at $24.00. First resistance is seen at the overnight high of $26.37 and then at $26.75. Next support is seen at the overnight low of $25.82 and then at $25.50. Wyckoff's Market Rating: 7.0.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.