Gold price soars to record high on continued safe-haven bidding

(Kitco News, Wed. April 16th. 2025) – Gold prices are trading strongly up and hit record highs in early U.S. trading Wednesday. A steady flow of safe-haven demand comes amid geopolitical tensions between the U.S. and China that remain high. Silver prices are posting solid gains. June gold was last up $83.00 at $3,323.40 after hitting a record high of $3,334.20 overnight. May silver prices were last up $0.683 at $32.98.

Broker SP Angel reports in an email dispatch today the Chinese public and its central bank are snapping up gold. However, a Bank of America survey of fund managers named gold as “the most crowded trade” at present, suggesting too many bullish gold traders may now be on one side of the boat.

Asian and European stock markets were mostly lower in overnight trading. U.S. stock indexes are pointed to lower openings today in New York. Nvidia stock plunged overnight after the AI chip maker said it’s taking a $5.5 billion charge due to the U.S. likely banning sales of its chips to China. A Barron’s headline today reads: “Nvidia took a bullet. Expect more collateral damage from U.S.-China trade war.

Reports did say China my be willing to negotiate on trade under specific conditions.

The key outside markets today see the U.S. dollar index lower. Nymex crude oil futures prices are firmer and trading around $62.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently at 4.333%.

U.S. economic data due for release Wednesday includes the weekly MBA mortgage applications survey, retail sales, industrial production and capacity utilization, the NAHB housing index, manufacturing and trade inventories, Treasury international capital data, and the weekly DOE liquid energy stocks report.

Technically, June gold futures bulls have the strong overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at $3,400.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $3,150.00. First resistance is seen at the overnight contract high of $3,334.20 and then at $3,350.00. First support is seen at the overnight low of $3,245.20 and then at this week’s low of $3,208.70.

May silver futures bulls have the firm overall near-term technical advantage. Prices are in an uptrend on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $34.00. The next downside price objective for the bears is closing prices below solid support at $31.00. First resistance is seen at the overnight high of $33.175 and then at $33.50. Next support is seen at the overnight low of $32.255 and then at $32.00.

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com