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(Kitco News) - Gold and silver prices are holding modest gains in quieter midday U.S. trading Tuesday, as the U.S. Federal Reserve has begun its two-day policy-setting meeting. August gold was last up $3.50 at $1,965.90 and September silver was up $0.274 at $24.855.
The U.S. data point of the week, if not the month, is the Federal Reserve’s Open Market Committee (FOMC) meeting that began Tuesday morning and ends Wednesday afternoon with a statement. Most market watchers believe the Fed will raise the main U.S. rate, the Fed funds rate, by 0.25%. As usual, the marketplace will closely scrutinize the FOMC statement and Fed Chair Powell’s remarks at his press conference for clues on the trajectory of Fed monetary policy in the coming months.
Asian and European stock markets were mixed in quieter overnight trading. U.S. stock indexes are modestly up at midday. The U.S. stock index bulls are enjoying a low-volatility summertime rally, which suggests the price uptrends in the stock indexes can continue in the next few weeks. That’s an underlying bearish element for the precious metals, as it’s likely pulling some buying interest away from the safe-haven metals.
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| Gold price poised to push to record highs as investor demand picks up - Franklin Templeton's Steve Land |
The key outside markets today see the U.S. dollar index near steady. Meantime, Nymex crude oil prices are higher and trading around $79.75 a barrel. The benchmark 10-year U.S. Treasury note yield is presently fetching 3.894%.
![Live 24 hours gold chart [Kitco Inc.]](/images/live/gold.gif?0.2924175530478188){kind=small}
Technically, August gold futures bulls have the slight overall near-term technical advantage but need to show fresh power soon to keep it. Prices are in a three-week-old uptrend on the daily bar chart, but just barely. Bulls’ next upside price objective is to produce a close above solid resistance at $2,000.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the June low of $1,900.60. First resistance is seen at this week’s high of $1,969.80 and then at last Friday’s high of $1,975.90. First support is seen at today’s low of $1,951.60 and then at $1,937.50. Wyckoff's Market Rating: 5.5.
![Live 24 hours silver chart [ Kitco Inc. ]](/images/live/silver.gif)
September silver futures bulls have the overall near-term technical advantage. A four-week-old price uptrend is in place on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $26.00. The next downside price objective for the bears is closing prices below solid support at $23.00. First resistance is seen at $25.00 and then at the July high of $25.475. Next support is seen at this week’s low of $24.425 and then at $24.00. Wyckoff's Market Rating: 6.5.
September N.Y. copper closed up 680 points at 392.35 cents today. Prices closed nearer the session high today. The copper bulls have gained the slight overall near-term technical advantage. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the June high of 396.40 cents. The next downside price objective for the bears is closing prices below solid technical support at 368.30 cents. First resistance is seen at the July high of 395.40 cents and then at 396.40 cents. First support is seen at today’s low of 384.45 cents and then at last week’s low of 378.10 cents. Wyckoff's Market Rating: 5.5.
