(Kitco News) - Gold and silver prices are solidly up in midday U.S. trading Thursday, as the bulls shrugged off bearish outside markets that include a higher U.S. dollar index, an uptick in U.S. Treasury yields and solid gains in the competing asset class, U.S. stock indexes. The precious metals bulls also seemingly ignored a much-stronger-than-expected U.S. retail sales report that fell into the camp of the U.S. monetary policy hawks. December gold was last up $16.60 at $2,496.30. September silver was up $1.186 at $28.525.
The U.S. data point of a busy report day Thursday saw the retail sales report for July come in at up 1.0% from June, which was much stronger than the 0.3% rise expected. Weekly U.S. jobless claims came in lower than expected, too. Reads a Barron’s headline today: “The U.S. economy is still strong; the latest data make it clear.”
It’s likely the gold and silver markets saw some safe-haven demand today as the U.S. government is warning that Iran and/or its proxies are poised for a military attack on Israel.
The other key outside market today sees Nymex crude oil prices firmer and are trading around $78.50 a barrel. The benchmark 10-year U.S. Treasury note is presently fetching around 3.85%.
Technically, December gold bulls have the solid overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at the contract high of $2,537.70. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,400.00. First resistance is seen at this week’s high of $2,519.70 and then at $2,524.00. First support is seen at today’s low of $2,469.20 and then at $2,450.00. Wyckoff's Market Rating: 8.0.
September silver futures bears have the overall near-term technical advantage. Prices are in a nearly three-month-old downtrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at the August high of $29.355. The next downside price objective for the bears is closing prices below solid support at $26.00. First resistance is seen at $28.815 and then at $29.00. Next support is seen at $28.00 and then at this week’s low of $27.23. Wyckoff's Market Rating: 4.0.
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