(Kitco News, Wed. April 8th, 2020) – Gold and silver prices are trading modestly down in early U.S. trading Wednesday, on normal corrective pullbacks in uptrends after gold hit a 7.5-year high of $1,742.60 on Tuesday, basis June Comex futures. Silver prices on Tuesday pushed to a three-week high of $15.93, basis May Comex futures. The charts are fully bullish for gold, and for silver they have turned bullish this week. June gold futures were last down $5.90 an ounce at $1,677.70. May Comex silver prices were last down $0.175 at $15.305 an ounce.
Global stock markets were mixed to weaker in overnight trading. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins. This week, as global stock markets have rebounded, it’s becoming more apparent to more than a few veteran traders/analysts that many markets are close to, or already have, factored into their prices the general economic impact of the coronavirus pandemic. Of course, nobody ever knows for sure on calling market bottoms or tops, or knowing the ultimate economic impact of major shock events. Still, there are emerging technical signals in several major markets that do suggest they have put in near-term bottoms, if not major bottoms. The U.S. stock indexes are in this category.
At mid-week on this holiday-shortened week (Markets are closed for Good Friday.) traders and investors are seeing their risk appetite wane as the Covid-19 continues its destructive human toll. The U.S. saw 50% more citizens die from the coronavirus Tuesday than any other day. The U.S. and Europe are hoping the models suggesting the next week will be the worst, regarding new virus infections, are correct, and that the curve will have then peaked for them.
Posted by :
Jack Dempsey, President
401 Gold Consultants LLC
jdemp2003@gmail.com