(Kitco News) - Gold prices are sharply up in early U.S. trading Monday and hit another record high. Silver prices are also up and notched another 14-year high. The powerful but mature bull market runs in gold and silver are accelerating. That’s one early clue that from a time perspective, major market tops could come sooner rather than later. However, from a price perspective, there still could be much more room on the upside for gold and silver prices during this acceleration phase of the mature bull markets, before they peter out for a while. December gold was last up $40.80 at $3,815.90. December silver prices were up $0.361 at $44.575.
Global stocks were mixed overnight. U.S. stock indexes are pointed to mixed openings when the New York day session begins, after setting record highs Monday.
In overnight news, Bloomberg reports China aims to become the custodian of foreign sovereign gold reserves to strengthen its standing in the global bullion market. The People's Bank of China is using the Shanghai Gold Exchange to court central banks in friendly countries to buy bullion and store it within the country's borders. The move would enhance Beijing's role in the global financial system, furthering its goal of establishing a world that's less dependent on the dollar and Western centers, said Bloomberg.
The U.S. has pledged financial support for Argentine President Javier Milei ahead of midterm elections next month. U.S. Treasury Secretary Scott Bessent has vowed to provide “all options for stabilization,” and the U.S. is ready for a large, forceful intervention in Argentina. The news offered a much needed respite to Argentina’s battered assets, with bonds jumping, stocks leaping 8%, and the currency set for the biggest advance since May on Monday, according to Bloomberg. The country’s markets had been in free-fall ever since Milei’s party landslide loss in the Buenos Aires’ provincial election earlier this month, which raised the prospect of his free-market reform agenda stalling after the midterms. The central bank spent $1 billion in just two days last week to keep the peso from plunging as it fell almost every single session this month.
With just days until the Oct. 1 deadline, the U.S. Congress faces another standoff over government funding. The Republican-led House of Representatives passed a stopgap bill that would extend funding through Nov. 21, but to pass in the Senate, the bill needs the support of at least some Democrats. Democratic leaders are insisting on the inclusion of health care provisions that are absent from the Republican-led bill. They also want new restrictions on President Trump’s ability to refuse to spend money appropriated by Congress. Trump has signaled he is unwilling to grant Democrats concessions, raising the risk that the standoff could tip into a shutdown that could be difficult to resolve.
Fed Chair Jerome Powell speaks today on the economic outlook at a Greater Providence Chamber of Commerce 2025 Economic Outlook Luncheon. Fed Vice Chair for Supervision Michelle Bowman speaks at the 134th Annual Kentucky Bankers Association Convention.
President Trump addresses United Nations General Assembly today. This will be his first speech to the body since 2020. Trump has been skeptical of multilateral institutions such as the UN. He has criticized what he views as unequal burdens placed on the U.S. and has questioned the effectiveness of international bodies. In previous addresses to the U.N. Trump has defended his “America First” stance and U.S. departures from treaties such as the Paris Climate Agreement and focused heavily on transactional diplomacy.
The key outside markets today see the U.S. dollar index near steady, while crude oil prices are slightly up and trading around $62.75 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently 4.13%.
U.S. economic data due for release today includes the weekly Johnson Redbook retail sales report, the current account report, the PMI composite flash and the Richmond Fed manufacturing survey.
Technically, December gold futures bulls have the strong overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at $3,900.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $3,650.00. First resistance is seen at $3,825.00 and then at $3,850.00. First support is seen at the overnight low of $3,772.40 and then at this week’s low of $3,718.10. Wyckoff's Market Rating: 9.5.
December silver futures bulls have the strong overall near-term technical advantage. Silver bulls' next upside price objective is closing prices above solid technical resistance at $45.00. The next downside price objective for the bears is closing prices below solid support at $41.00. First resistance is seen at $44.75 and then at $45.00. Next support is seen at the overnight low of $43.97 and then at this week’s low of $43.37. Wyckoff's Market Rating: 9.0.
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