(Kitco News,  Mon. Sep. 18th, 2023) – Gold and silver prices are up a bit in midday U.S. trading Monday. Trading is subdued and is likely to remain that way until the Wednesday afternoon conclusion of the Federal Reserve’s FOMC meeting. December gold was last up $4.30 at $1,950.60 and December silverwas up $0.034 at $23.42.

The main event for the marketplace this week will be the Federal Reserve’s Open Market Committee (FOMC) meeting that begins Tuesday morning and ends Wednesday afternoon with a statement and press conference from Fed Chairman Jerome Powell. Most look for the FOMC to stand pat on U.S. monetary policy, but still sound a hawkish tone. A Barron’s headline today reads: “Strikes, dot plots, energy prices. How the Fed’s inflation battle is getting tougher.”

Asian and European stocks were mostly weaker overnight. U.S. stock indexes are firmer at midday.

Gold price downside is shallow as Fed’s messaging is limited next week

The key outside markets today see the U.S. dollar index weaker. Nymex crude oil prices are higher, hit a 10-month high overnight, and are trading around $92.00 a barrel. There is now a growing consensus that Nymex crude will hit $100 a barrel in the coming weeks. The benchmark U.S. Treasury 10-year note yield is presently fetching around 4.34%.

Live Gold Price

Technically, December gold futures bears have the firm overall near-term technical advantage. A four-month-old downtrend is in place on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at the September high of $1,980.20. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at the August low of $1,913.60. First resistance is seen at last week’s high of $1,954.60 and then at $1,965.00. First support is seen at Friday’s low of $1,923.20 and then at last week’s low of $1,921.70.

December silver futures bears have the overall near-term technical advantage. However, there are now solid technical support levels just below the market. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $25.00. The next downside price objective for the bears is closing prices below solid support at $22.00. First resistance is seen at last week’s high of $23.585 and then at $24.00. Next support is seen at $23.00 and then at the September low of $22.555. Wyckoff’s Market Rating: 3.0.

December N.Y. copper closed down 215 points at 377.95 cents today. Prices closed nearer the session low. The copper bulls and bears are on a level overall near-term technical playing field. Copper bulls’ next upside price objective is pushing and closing prices above solid technical resistance at the September high of 390.85 cents. The next downside price objective for the bears is closing prices below solid technical support at the August low of 367.00 cents. First resistance is seen at today’s high of 382.30 cents and then at last week’s high of 385.15 cents. First support is seen at today’s low of 376.55 cents and then at 373.00 cents

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com