(Kitco News) - Gold and silver futures prices are lower in early U.S. trading Thursday, on some more profit-taking following gains scored earlier this week. Improved trader/investor risk appetite in the general marketplace late this week is also bearish for the safe-haven metals. A firmer U.S. dollar index today is a negative outside market for the metals. June gold was last down $40.40 at $3,351.50. July silver prices were last down $0.216 at $32.575.
Asian and European stock markets were mostly firmer in overnight trading. U.S. stock indexes are pointed to solidly higher openings today in New York. Risk appetite is keener today following news that President Donald Trump announced a "big news conference" Friday morning. He said the news conference entails a "major trade deal with representatives of a big, and highly respected, country." Reports say that country is the United Kingdom. Trump added the action will be “THE FIRST OF MANY!!!” However, the specifics of such a deal remain unclear and the broader context suggests ongoing ambiguity and shifting rhetoric from the Trump administration regarding trade agreements. Meantime, the U.S. and China will hold trade talks over the weekend in Switzerland.
In other overnight news, the Bank of England cut its main interest rate by 0.25%. The move was widely expected.
The key outside markets today see the U.S. dollar index higher. Nymex crude oil futures prices are higher and trading around $59.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently at 4.308%.
U.S. economic data due for release Thursday includes the weekly jobless claims report, preliminary productivity and costs, monthly wholesale trade and the monthly retail chain store sales index.
Technically, June gold futures bulls have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at this week’s high of $3,448.20. Bears' next near-term downside price objective is pushing futures prices below solid technical support at last week’s low of $3,209.40. First resistance is seen at $3,400.00 and then at the overnight high of $3,422.00. First support is seen at the overnight low of $3,325.40 and then at $3,300.00. Wyckoff's Market Rating: 7.0.
July silver futures bulls have the slight overall near-term technical advantage. Silver bulls' next upside price objective is closing prices above solid technical resistance at $34.015. The next downside price objective for the bears is closing prices below solid support at $31.00. First resistance is seen at the overnight high of $33.095 and then at this week’s high of $33.48. Next support is seen at the overnight low of $32.37 and then at $32.00. Wyckoff's Market Rating: 5.5.
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