(Kitco News) - Gold and silver prices are solidly lower in early U.S. trading Monday, on demand concerns for the metals after a batch of weak economic data from China spooked the marketplace. October gold futures were last down $22.30 at $1,783.00. September Comex silver futures were last down $0.493 at $20.205 an ounce.
There is keener risk aversion in the marketplace to start the trading week after China’s central bank unexpectedly announced it is lowering interest rates and adding liquidity to China’s financial system after some dour economic data reported for the world’s second-largest economy. Chinese data on factory output, investment, consumer spending and real estate all weakened in July. The dour China news added to fears of a global economic recession. Covid restrictions and a troubled property market have helped to hobble China’s economy in recent months. Other raw commodity prices on Monday also took a hit on the China news, led by a big drop in crude oil prices.
Global stock markets were mixed overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins.
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The key outside markets today see Nymex crude oil prices sharply lower and trading around $88.00 a barrel. The U.S. dollar index is solidly higher in early U.S. trading. The yield on the 10-year U.S. Treasury note is fetching 2.831%.
U.S. economic data due for release Monday includes the Empire State manufacturing survey, the NAHB housing market index and Treasury international capital data.
![Live 24 hours gold chart [Kitco Inc.]](/images/live/gold.gif?0.2924175530478188){kind=small}
Technically, the October gold futures bears have the overall near-term technical advantage and regained power today. A price uptrend in place on the daily bar chart is now in serious jeopardy. Bulls’ next upside price objective is to produce a close above solid resistance at the August high of $1,814.40. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,725.00. First resistance is seen at $1,800.00 and then at today’s high of $1,808.20. First support is seen at $1,775.00 and then at the August low of $1,759.70. Wyckoff's Market Rating: 3.5
![Live 24 hours silver chart [ Kitco Inc. ]](/images/live/silver.gif)
September silver futures bears have the overall near-term technical advantage. Silver bulls' next upside price objective is closing prices above solid technical resistance at $21.00. The next downside price objective for the bears is closing prices below solid support at $19.00. First resistance is seen at $20.50 and then at today’s high of $20.87. Next support is seen at $20.00 and then at $19.47. Wyckoff's Market Rating: 3.5.
