Gold Prices Down On Some Upbeat U.S. Data, Silver Pops

(Kitco News) – Gold prices are modestly down in midday U.S. trading Tuesday. Some stronger U.S. economic data gave the monetary policy doves some pause on their notions of several interest rate cuts in the coming months. Meantime, silver futures pushed to a nearly four-month high today on chart-based buying interest and bargain hunting. August gold futures were last down $3.60 an ounce at 1,409.80. September Comex silver prices were last up $0.295 at $15.655 an ounce.The daily chart for gold still shows a “collapse in volatility,” whereby the past three sessions have seen significantly quieter price action. This suggests that a bigger price move is right on the horizon, probably yet this week. Given that the daily gold chart remains bullish, odds favor that bigger price move being to the upside.Tuesday’s release of the U.S. retail sales report for June showed a stronger-than-expected rise of 0.4%, which pushed the U.S. dollar index to solid gains on the day and in turn put downside pressure on the gold market. Other U.S. data released today was a mixed bag and fairly inconsequential.

In overnight news, there was a downbeat economic report coming out of Germany, as the ZEW economic expectations index and current conditions index worsened in July. Germany is the economic workhorse for the European Union.

The other key “outside market” today sees Nymex crude oil prices weaker and trading just above $59.00 a barrel.

Posted by :

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com

Leave a Reply Cancel reply