(Kitco News) - Gold and silver prices are trading firmer in early U.S. trading Wednesday, as bullish daily “outside market” forces are supporting buying interest—a weaker U.S. dollar index, lower U.S. stock index prices, and higher crude oil prices. U.S. Treasury yields have also stabilized this week, which leans a bit friendly for the precious metals market bulls. August gold was last up $10.90 at $2,418.20. September silver was up $0.199 at $29.53.
Asian and European stock indexes were mostly lower overnight. U.S. stock indexes are pointed toward solidly lower openings when the New York day session begins. Downbeat earnings reports from Tesla and Alphabet are weighing on stock trader/investor sentiment at mid-week.
Traders and investors are looking ahead to late-week important U.S. economic data that includes the GDP report on Thursday and the personal income and outlays report, including its inflation indicators, on Friday morning.
The key outside markets today see the U.S. dollar index slightly down. Nymex crude oil prices are higher and trading around $78.00 a barrel. The benchmark 10-year U.S. Treasury note yield is presently 4.237%.
U.S. economic reports out Wednesday include the weekly MBA mortgage applications survey, the advance economic indicators report, the U.S. flash services and manufacturing PMIs, new residential sales and the weekly DOE liquid energy stocks report.
Technically, August gold bulls still have the firm overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at the record high of $2,488.40. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,300.00. First resistance is seen at $2,425.00 and then at $2,432.00. First support is seen at $2,400.00 and then at this week’s low of $2,385.20. Wyckoff's Market Rating: 7.0.
September silver futures bulls have the slight overall near-term technical advantage but have faded badly recently. Silver bulls' next upside price objective is closing prices above solid technical resistance at $31.00. The next downside price objective for the bears is closing prices below solid support at $28.00. First resistance is seen at this week’s high of $29.615 and then at $30.00. Next support is seen at the overnight low of $29.235 and then at this week’s low of $28.825. Wyckoff's Market Rating: 5.5
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