(Kitco News) - Gold and silver prices are modestly higher in early U.S. trading Tuesday. The general marketplace is still a bit unsettled following the surprise ratings agency downgrade to U.S. government debt by Moody’s late last week. June gold was last up $9.10 at $3,242.60. July silver prices were last up $0.208 at $32.715.
Asian and European stock markets were mixed to firmer in overnight trading. U.S. stock indexes are pointed to weaker openings today in New York.
In overnight news, China’s monetary authorities lowered a main interest rates Tuesday, following some downbeat economic data coming from the world’s second-largest economy on Monday. Australia’s central bank also cut its main interest rate Tuesday.
In other news, JP Morgan’s chief, Jamie Dimon, in a speech on Monday warned that the full impact of the U.S.-China trade war has not yet been felt by businesses and consumers and that the stock market could tumble again. “It’s an extraordinary amount of complacency” in the marketplace, said Dimon.
The key outside markets today see the U.S. dollar index slightly lower. Nymex crude oil futures prices are near steady and trading around $62.50 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently at 4.463%.
U.S. economic data due for release Tuesday is light and includes the weekly Johnson Redbook retail sales report. A few Federal Reserve officials are slated to speak today.
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 the May low of $3,123.30. First resistance is seen at this week’s high of $3,252.90 and then at $3,300.00. First support is seen at the overnight low of $3,207.40 and then at $3,200.00. Wyckoff's Market Rating: 5.0.
July silver futures bulls and bears are on a level overall near-term technical playing field. Silver bulls' next upside price objective is closing prices above solid technical resistance at $33.48. 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 $33.48. Next support is seen at the overnight low of $32.235 and then at $32.00. Wyckoff's Market Rating: 5.0.
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