Gold weaker as risk appetite up-ticks, USDX rebounds
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(Kitco News) - Gold prices are modestly down and silver near steady in midday U.S. trading Wednesday. Risk appetite is slowly creeping back into the marketplace this week. That's bearish for the safe-haven metals. A firmer U.S. dollar index on this day is also negative for the metals markets. April gold was last down $7.00 at $1,966.20 and May silver was up $0.01 at $23.43.
The marketplace is slowly moving beyond the U.S. and European banking troubles as risk appetite creeps back into the markets. However, veteran market watchers believe it's too soon for the "all clear" siren regarding the matter.
Global stock markets were mixed overnight. U.S. stock indexes are higher at midday.
The U.S. data point of the week is Friday's personal consumption and expenditures (PCE) data that will provide fresh clues on inflation and whether the U.S. economy is headed toward recession. It's been said the PCE data is a favorite gauge of inflation for the Federal Reserve.
|Gold bull market to push for record highs - fund manager Eric Strand|
The other key outside market today sees Nymex crude oil futures prices slightly higher and trading around $73.50 a barrel. The benchmark 10-year U.S. Treasury note yield is presently fetching 3.553%.
Technically, April gold futures bulls have the solid overall near-term technical advantage. Prices are still in an uptrend on the daily bar chart. A bullish symmetrical triangle pattern has now developed on the daily bar chart. Bulls' next upside price objective is to produce a close above solid resistance at the March high of $2,014.90. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,900.00. First resistance is seen at this week's high of $1,984.00 and then at $2,000.00. First support is seen at this week's low of $1,945.00 and then at last week's low of $1,936.50. Wyckoff's Market Rating: 7.5
May silver futures bulls have the firm overall near-term technical advantage. Prices are in a steep uptrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $24.00. The next downside price objective for the bears is closing prices below solid support at $22.00. First resistance is seen at the March high of $23.705 and then at $24.00. Next support is seen at this week's low of $22.96 and then at $22.50. Wyckoff's Market Rating: 7.0.
May N.Y. copper closed up 55 points at 409.20 cents today. Prices closed near mid-range today. The copper bulls have the overall near-term technical advantage. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the January high of 435.90 cents. The next downside price objective for the bears is closing prices below solid technical support at the March low of 382.20 cents. First resistance is seen at last week's high of 414.85 cents and then at the March high of 417.85 cents. First support is seen at this week's low of 402.35 cents and then at 400.00 cents. Wyckoff's Market Rating: 6.0.