(Kitco News, Wed. July 5th, 2023) – Gold prices are modestly up and silver slightly down in early U.S. trading Wednesday. Short covering from the futures traders is featured in gold, ahead of this afternoon’s FOMC minutes from the Federal Reserve. August gold was last up $5.40 at $1,934.90 and September silver was down $0.067 at $23.045.
Asian and European stock markets were mostly lower in overnight trading. U.S. stock indexes are pointed toward lower openings when the New York day session begins. Despite a holiday-shortened U.S. trading week, it’s still a busy one for the marketplace. The latest FOMC minutes from the Federal Reserve are released this afternoon. The U.S. employment situation report for June is out Friday. The key non-farm payrolls number is forecast up 240,000 versus a gain of 339,000 in the May report.
In overnight news, the Euro zone producer price index for May came in down 1.5%, year-on-year compared to expectations for a decline of 1.3%.
In other news, U.S. Treasury Secretary Janet Yellen travels to China Thursday for meetings with high-level Chinese officials. The meeting comes at a time when U.S.-China tensions are running very high.
The key outside markets today see the U.S. dollar index firmer. Nymex crude oil prices are higher and trading around $71.25 a barrel. Meantime, the benchmark 10-year U.S. Treasury note yield is presently fetching around 3.85%.
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Gold prices to remain in neutral territory for the rest of 2023, silver to see slightly higher prices – BMO Capital Markets |
Other U.S. economic due for release Wednesday include the weekly MBA mortgage applications survey, the Johnson Redbook weekly retail sales report, the IDB/TIPP economic optimism index, domestic auto industry sales, and manufacturers’ shipments and inventories.
Jul 05, 2023 12:00 NY Time
Bid
1,923.00
-2.70 (-0.14%)
Ask
1,924.00
Technically, the gold futures bears have the overall near-term technical advantage. A six-week-old price downtrend is in place on the daily bar chart. Bulls’ next upside price objective is to produce a close in August futures above solid resistance at $2,000.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,900.00. First resistance is seen at this week’s high of $1,939.90 and then at $1,950.00. First support is seen at the overnight low of $1,927.60 and then at this week’s low of $1,917.70. Wyckoff’s Market Rating: 4.0
![Live 24 hours silver chart [ Kitco Inc. ]](https://www.kitco.com/images/live/silver.gif)
The silver bears have the overall near-term technical advantage. Prices are in a six-week-old downtrend on the daily bar chart. Silver bulls’ next upside price objective is closing September futures prices above solid technical resistance at the June high of $24.835. The next downside price objective for the bears is closing prices below solid support at the March low of $20.425. First resistance is seen at last week’s high of $23.335 and then at $23.50. Next support is seen at last week’s low of $22.485 and then at the June low of $22.34.
Posted by:
Jack Dempsey, President
401 Gold Consultants LLC
jdemp2003@gmail.com