Gold a bit weaker as traders await U.S. jobs report
Gold a bit weaker as traders await U.S. jobs report
Date: 07/10/2021
Jim Wyckoff Thursday October 07, 2021 12:29
(Kitco News) – Gold prices are slightly down in midday U.S. trading Thursday. A rally in the U.S. stock market and rising bond yields on this day were negatives for the metals markets. The yellow metal is also pausing ahead of key U.S. economic data out Friday morning. December gold futures were last down $2.30 at $1,759.40. December Comex silver was last up $0.128 at $22.66 an ounce.
Traders are looking forward to the U.S. employment report from the Labor Department on Friday morning—arguably the most important U.S. data point of the month. The key non-farm jobs number in that report is forecast at up 500,000 in September after a paltry gain of 235,000 in August. Look for higher market volatility in the immediate aftermath of the jobs report.
Global stock markets were mostly higher in overnight trading. The U.S. stock indexes are higher at midday. Trading has been choppy in the indexes but near-term price downtrends are in place for the S&P and Nasdaq futures. Trader and investor risk appetite is a bit more upbeat Thursday as U.S. lawmakers have agreed on a short-term debt-limit expansion into December.
The key outside markets today see the U.S. dollar index slightly lower. Nymex crude oil futures are higher and trading around $78.50 a barrel after hitting a nearly seven-year high earlier this week. Meantime, the 10-year U.S. Treasury note yield is presently fetching 1.517%.
Technically, December gold futures bears have the overall near-term technical advantage. A four-week-old price downtrend is still in place on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at $1,800.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,700.00. First resistance is seen at this week’s high of $1,771.50 and then at $1,775.00. First support is seen at this week’s low of $1,745.40 and then at $1,737.50. Wyckoff’s Market Rating: 3.5
December silver futures bears have the solid overall near-term technical advantage. Prices are in a four-week-old downtrend on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $24.00 an ounce. The next downside price objective for the bears is closing prices below solid support at $21.00. First resistance is seen at today’s high of $22.84 and then at $23.00. Next support is seen at this week’s low of $22.185 and then at $22.00. Wyckoff’s Market Rating: 2.0.
December N.Y. copper closed up 970 points at 424.45 cents today. Prices closed near the session high today. The copper bulls and bears are back on a level overall near-term technical playing field amid choppy trading. Copper bulls’ next upside price objective is pushing and closing prices above solid technical resistance at the September high of 447.15 cents. The next downside price objective for the bears is closing prices below solid technical support at the August low of 396.65 cents. First resistance is seen at this week’s high of 430.30 cents and then at 435.00 cents. First support is seen at today’s low of 416.25 cents and then at this week’s low of 411.40 cents. Wyckoff’s Market Rating: 5.0.
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