(Kitco News) – Gold and silver prices are near steady at midday on a normal pause after notching 3.5-month highs in earlier trading Tuesday. The metals are being supported by a slumping U.S. dollar index and recently rising crude oil prices. The precious bulls are also enjoying very friendly technical charts at present. June gold futures were last down $0.80 at $1,866.60 and July Comex silver was last up $0.021 at $28.29 an ounce.
Global stock markets were mostly firmer overnight. U.S. stock indexes are mixed at midday. Global investor and trader risk appetite has somewhat improved Tuesday. For the moment at least, the marketplace is not paying much attention to the escalating fighting between Israel and Hamas that is the fiercest since 2014. The inflation debate remains close to the front burner of the marketplace. History shows that rising inflation has tended to benefit hard assets like the metals.
The key outside markets today see the U.S. dollar index lower and hitting a nearly three-month low. Meantime, Nymex crude oil prices are lower at midday on routine profit taking after hitting a two-month high early on today, and are trading around $65.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.645%. The German 10-year bund yield is trading at -0.109% and the U.K. 10-year gilt yield is 0.881%.
Technically, June gold futures are now back above the key 200-day moving average. The gold bulls have the firm overall near-term technical advantage. A seven-week-old price uptrend is in place on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at $1,900.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,800.00. First resistance is seen at today’s high of $1,875.90 and then at $1,881.00. First support is seen at $1,850.00 and then at this week’s low of $1,841.10. Wyckoff’s Market Rating: 7.0
July silver futures bulls have the firm overall near-term technical advantage. A seven-week-old uptrend is in place on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at the February high of $30.015 an ounce. The next downside price objective for the bears is closing prices below solid support at last week’s low of $26.78. First resistance is seen at $28.50 and then at today’s high of $28.90. Next support is seen at $28.00 and then at this week’s low of $27.44. Wyckoff’s Market Rating: 7.0.
July N.Y. copper closed up 40 points at 471.55 cents today. Prices closed near the session low today. The copper bulls have the strong overall near-term technical advantage. Copper bulls’ next upside price objective is pushing and closing prices above solid technical resistance at 500.00 cents. The next downside price objective for the bears is closing prices below solid technical support at 442.00 cents. First resistance is seen at today’s high of 478.20 cents and then at 480.00 cents. First support is seen at this week’s low of 464.05 and then at 460.60 cents. Wyckoff’s Market Rating: 8.5.
