(Kitco news) - Gold prices are posting solid losses and hit a five-week low in midday U.S. trading Wednesday. Silver prices are also lower. Profit-taking pressure and liquidation from weak-handed longs in the futures markets are featured at midweek. Improved trader and investor risk appetite in the general marketplace so far this week is also negative for the safe-haven metals. June gold was last down $60.90 at $3,187.00. July silver prices were last down $0.675 at $32.425.
U.S. stock indexes are slightly up at midday after two sessions of good gains that have pushed prices to three-month highs. Risk appetite has improved this week on signs of a thawing in the U.S. China cold war on trade. Both countries have this week eased some of their trade duties on each other. Tuesday’s tame U.S. consumer price index also assuaged traders and investors. The U.S. producer price index for April is due out Thursday morning.
The key outside markets today see the U.S. dollar index modestly lower but up from the early- session low. Nymex crude oil futures prices are slightly lower and trading around $63.50 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently around 4.45%.
Technically, June gold futures bulls and bears are on a level overall near-term technical playing field but the bulls are fading. Bulls’ next upside price objective is to produce a close above solid resistance at $3,350.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $3,100.00. First resistance is seen at today’s high of $3,261.30 and then at $3,300.00. First support is seen at today’s low of $3,178.30 and then at $3,150.00. Wyckoff's Market Rating: 5.0.
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 $33.00 and then at last week’s high of $33.48. Next support is seen at $32.00 and then at the May low of $31.86. Wyckoff's Market Rating: 5.5.
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