(Kitco News) - Gold and silver prices are near steady in early U.S. trading Wednesday. The precious metals are pausing ahead of Federal Reserve Chairman Jerome Powell speaking to the U.S. House of Representatives committee on U.S. monetary policy. Traders and investors will closely scrutinize his comments for clues on the future path of U.S. money policy. Gold and silver bulls are hoping Powell leans dovish. April gold was last up $0.10 at $2,142.00. May silver was last up $0.026 at $24.01.
Asian and European stock markets were mixed in overnight trading. U.S. stock index futures are set to open firmer when the New York day session begins.
In overnight news, China’s January and February imports and exports rose 8.2%, year-on-year, according to China’s commerce minister. Meantime, China’s central bank governor said there is more scope to cut the bank’s reserve requirement ratio, to effectively boost lending. China’s National People’s Congress is meeting this week.
The key outside markets today see the U.S. dollar index weaker. Nymex crude oil prices are up and trading around $79.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently fetching 4.166%.
Other U.S. economic data due for release Wednesday includes the weekly MBA mortgage applications survey, the ADP national employment report, monthly wholesale trade, the weekly DOE liquid energy stocks report, the jobs and labor turnover survey (JOLTS), and the Federal Reserve’s beige book.
Technically, the gold futures bulls have the solid overall near-term technical advantage and have momentum. A steep three-week-old uptrend is in place on the daily bar chart. Bulls’ next upside price objective is to produce a close in April futures above solid resistance at $2,200.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,050.00. First resistance is seen at this week’s high of $2,150.50 and then at $2,171.50. First support is seen at the overnight low of $2,131.90 and then at this week’s low of $2,118.50. Wyckoff's Market Rating: 8.0.
The silver bulls have the overall near-term technical advantage and have momentum. Silver bulls' next upside price objective is closing May futures prices above solid technical resistance at $25.00. The next downside price objective for the bears is closing prices below solid support at the February low of $22.19. First resistance is seen at $24.16 and then at this week’s high of $24.455. Next support is seen at the overnight low of $23.785 and then at $23.50. Wyckoff's Market Rating: 6.0.
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