(Kitco News) - Gold prices are slightly lower in midday U.S. trading today, on some mild profit taking. Silver prices are sharply down and hit a four-week low, with weak long liquidation featured in the futures market. December gold was last down $4.70 at $3,348.10. September silver prices were last down $1.049 at $36.69.
It’s likely the weaker gold prices and strong selling pressure in silver futures is at least partly due to spillover selling amid the big copper market meltdown seen the past two days. President Trump surprised the copper futures market with new tariff rules on copper imports, which dropped copper futures prices sharply lower. Broker SP Angel said in an email dispatch today: “Blood on the street (in copper futures) as Trump exempts refined copper from the 50% tariff he mentioned a while ago, with no immediate tariffs on copper or copper products.” Copper futures in the U.S. fell up to 6% overnight, extending the record 18% plunge Wednesday after Trump excluded refined copper from the tariff package that will start on Friday.
In other news, gold buying by central banks and jewelers eased in the second quarter amid the recent record high prices for the yellow metal. Central banks bought 166.5 tons in the three-month period, one-third less than in the first quarter, bringing purchases for the first half of the year to the lowest since 2022, according to the World Gold Council. Central bank demand is now forecast at about 815 tons for 2025.
The key outside markets today see the U.S. dollar index slightly higher. Nymex crude oil futures are lower and trading around $68.75 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently around 4.3%.
Metals traders are now gearing up for the U.S. employment situation report from the Labor Department Friday morning. The key non-farm payrolls number is seen at being up around 100,000 in July.
Technically, December gold futures bulls have the overall near-term technical advantage but have faded. Bulls’ next upside price objective is to produce a close above solid resistance at the July high of $3,509.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $3,300.00. First resistance is seen at Wednesday’s high of $3,389.30 and then at $3,400.00. First support is seen at this week’s low of $3,319.20 and then at the June low of $3,307.40. Wyckoff's Market Rating: 6.0.
September silver futures bulls have the overall near-term technical advantage but are fading fast. A price uptrend on the daily bar chart has been negated. Silver bulls' next upside price objective is closing prices above solid technical resistance at this week’s high of $38.51. The next downside price objective for the bears is closing prices below solid support at $35.00. First resistance is seen at the overnight high of $37.285 and then at $38.00. Next support is seen at the overnight low of $36.28 and then at $36.00. Wyckoff's Market Rating: 6.0.
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