Live Spot Gold
SPOT MARKET IS OPEN
closes in 5 hrs. 19 mins.May 07, 2020 11:41 NY Time
| Bid/Ask | 1704.30 / 1705.30 | |
| Low/High | 1684.90 / 1706.30 | |
| Change | +20.20 | +1.20% |
| 30daychg | +54.60 | +3.31% |
| 1yearchg | +420.20 | +32.72% |
| Alerts Charts |
Silver Price & PGMs
May 07, 2020 11:41 NY TimeKitco 10AM Silver Fix
| Silver | 15.18 | +0.37 |
| Platinum | 762.00 | +10.00 |
| Palladium | 1754.00 | +42.00 |
| Rhodium | 3500.00 | 0.00 |
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see the associated charts
(Kitco, Thurs. May 7th, 2020) – Gold prices are trading moderately higher in early U.S. dealings Thursday, following the just-released U.S. weekly jobless claims report that reminded traders and investors of the severely damaged state of U.S. and other major world economies. June gold futures were last up $10.10 an ounce at $1,698.70. July Comex silver prices were last up $0.185at $15.20 an ounce.
The weekly U.S. jobless claims report showed new claims of 3.1 million in the latest week, which was in line with market expectations. Today’s number is lower than the enormous figures seen in recent weeks, but still very large. Thursday’s weekly jobless report comes just ahead of Friday morning’s monthly employment situation report from the U.S. Labor Department, which is expected to show a loss of over 20 million jobs in April and an unemployment rate north of 15%, after a jobless rate of just 4.4% reported in March.
Global stock markets were mixed to firmer in overnight trading. U.S. stock indexes are pointed toward higher openings when the New York day session begins. Traders and investors are more upbeat this week amid a strong recovery in Nymex crude oil futures prices and as U.S. and European economies begin to reopen. Still, the Covid-19 cases and deaths in the U.S. continue to rise outside of the earlier hotspots like New York City.
Another positive for traders and investors today is reports that U.S. and China trade officials will meet next week. The meeting comes after the recent rise in tensions between the world’s two largest economies, as the U.S. has accused China of hiding the Covid-19 outbreak, and even creating it in a laboratory.
China also got some upbeat economic data Thursday, as its exports unexpectedly rose in April by 3.5%, year-on-year, after declining 6.6% in March. Exports in April were forecast at down over 18%. Meantime, China’s imports fell 14.2% in April after declining only 0.9% in March.
The Bank of England today left its monetary policy unchanged, as most had expected. However, the BOE said U.K. economic growth for much of 2020 could be down 30%.
At least one market advisory firm is now calling for a “commodity super-cycle” to begin to occur in the coming months. The firm believes the combination of major global economies coming back to life in rapid fashion, after the Covid-19-induced demand shock, and the recent huge monetary stimulus measures from the big central banks of the world will produce huge demand for raw commodities that will drive their prices sharply higher. The naysayers to this postulation say the 2008 financial crisis that saw similar—although not nearly as extreme—conditions did not produce problematic price inflation at all, and in fact the world’s major economies struggled with inflation that was too low for many years. This longtime market watcher’s perspective on the matter: I lean on the side of problematic price inflation, thinking of the old saying, “no good deed (central bank stimulus) goes unpunished.”
The important outside markets Thursday see Nymex crude oil prices higher and trading around $26.25 a barrel in June futures. Prices have more than tripled from the recent low. The U.S. dollar index is slightly higher today as the greenback bulls are having a very good week.
Other U.S. economic reports out Thursday include the Challenger job-cuts report, preliminary productivity and costs, consumer credit and monthly chain store sales.
Technically, the gold bulls have the overall near-term technical advantage but need to show fresh power soon to keep alive an uptrend on the daily bar chart. Bulls’ next upside price objective is to produce a close in June futures above solid resistance at the April high of $1,788.80. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,666.20. First resistance is seen at Wednesday’s high of $1,716.60 and then at this week’s high of $1,726.00. First support is seen at this week’s low of $1,683.00 and then at $1,676.00.
July silver futures bulls and bears are on a level overall near-term technical playing field. Silver bulls’ next upside price objective is closing prices above solid technical resistance at the April high of $16.505 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $14.00. First resistance is seen at this week’s high of $15.39 and then at $15.50. Next support is seen at $15.00 and then at this week’s low of $14.76.
Posted by :
Jack Dempsey, President
401 Gold Consultants LLC
jdemp2003@gmail.com