(Kitco News) - Gold prices are modestly higher in early U.S. trading Monday, on a corrective bounce and some perceived bargain hunting after recent losses. The general marketplace is tentative early this week, just ahead of a big and important U.S. economic data dump in the coming days. Silver prices are slightly up early today. August gold was last up $7.70 at $2,388.70. September silver was up $0.08 at $28.10.
This week’s key U.S. data releases include the FOMC meeting that begins Tuesday and ends Wednesday afternoon, the JOLTS report Tuesday, and the monthly jobs report on Friday. The Bank of England’s monetary policy decision is Thursday. The Bank of Japan’s two-day monetary policy meeting ends Wednesday. The BOJ is expected by many to raise interest rates as soon as this week.
There are reports coming out of Asia that consumer demand for gold jewelry has waned recently due to higher retail prices and due to China’s economic growth concerns.
Asian and European stock indexes were mostly firmer overnight. U.S. stock indexes are pointed toward higher openings when the New York day session begins, on a rebound after seeing a big sell off last week.
The key outside markets today see the U.S. dollar index firmer. Nymex crude oil prices are lower and trading around $76.75 a barrel. The benchmark 10-year U.S. Treasury note yield is presently 4.165%.
U.S. economic reports out Monday include the Texas manufacturing outlook survey.
Technically, August gold bulls have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at last week’s high of $2,433.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,300.00. First resistance is seen at $2,400.00 and then at $2,415.00. First support is seen at $2,375.00 and then at last week’s low of $2,351.90. Wyckoff's Market Rating: 6.5.
September silver futures bears have the overall near-term technical advantage. Prices are trending down on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at last week’s high of $29.63. The next downside price objective for the bears is closing prices below solid support at the May low of $26.55. First resistance is seen at $28.50 and then at $29.00. Next support is seen at the July low of $27.555 and then at $27.00. Wyckoff's Market Rating: 4.0
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