(Kitco News) - Gold prices are modestly up on some short covering by the shorter-term futures traders and on some perceived bargain buying in the cash market. The first trading day of the third quarter finds the marketplace quieter on a U.S. holiday-shortened trading week. August gold was last up $6.70 at $2,346.40. July silver was up $0.008 at $29.245.
Asian and European stock indexes were mostly firmer overnight. U.S. stock indexes are pointed toward firmer openings when the New York day session begins. The U.S.-Independence-Day-holiday-shortened work week still sees key U.S. data out that includes the JOLTS report on Tuesday, FOMC minutes on Wednesday and the monthly jobs report on Friday. U.S. markets are closed on Thursday, July 4. Fed Chairman Jerome Powell speaks at a European Central Bank forum in Portugal, along with ECB President Lagarde, on Wednesday.
The key outside markets today see the U.S. dollar index weaker. Nymex crude oil prices are slightly up and trading around $81.85 a barrel. The benchmark 10-year U.S. Treasury note yield is presently 4.40%.
U.S. economic data due for release Monday includes the U.S. manufacturing Purchasing Managers Index (PMI), the ISM report on business manufacturing, the global manufacturing PMI, and construction spending.
Technically, August gold bulls have a slight overall near-term technical advantage. However, prices are in a six-week-old downtrend on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at the June high of $2,406.70. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,300.00. First resistance is seen at $2,350.00 and then at $2,360.00. First support is seen at the overnight low of $2,328.20 and then at $2,315.00. Wyckoff's Market Rating: 5.5.
September silver futures bulls have a slight overall near-term technical advantage but have faded. Prices are in a six-week-old downtrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $31.225. The next downside price objective for the bears is closing prices below solid support at the June low of $28.90. First resistance is seen at $30.00 and then at $30.50. Next support is seen at the overnight low of $29.25 and then at $29.00. Wyckoff's Market Rating: 5.5
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