Gold, silver up ahead of major central bank meetings this week

(Kitco News, Mon. Dec.  13th, 2021) – Gold and silver prices are modestly higher at midday Monday. The metals are seeing some support on continued inflation worries, and by weaker U.S. stock indexes and lower U.S. bond yields today. It’s a huge week for central banks meetings that will grab the marketplace spotlight. February gold was last up $5.50 at $1,790.40 and March Comex silver was last up $0.13 at $23.325 an ounce.

Global stock markets were mostly firmer in overnight trading. It’s a quieter start to the trading week. However, activity will certainly pick up as the week progresses as all the major central banks hold monetary policy meetings this week. The Federal Reserve’s FOMC meeting begins Tuesday morning and ends Wednesday afternoon with a statement and press conference from Fed Chairman Jerome Powell. The FOMC is expected to announce the acceleration of asset purchases tapering on Wednesday as the U.S. faces the hottest inflation in nearly 40 years. For the European Central Bank meeting Thursday, little change in monetary policy is expected.

Crypto naysayers ‘have little choice but to join in’ as bitcoin heads to $100k in 2022 – Bloomberg Intelligence

Risk appetite remains upbeat with just over two weeks before the new year begins. The new Omicron variant of the coronavirus appears to be much less than the worst-case scenario traders and investors were worried about two weeks ago. That has allowed stock markets to rally on bond yields to rise.

The key “outside markets” today see Nymex crude oil prices slightly lower and trading around $71.50 a barrel. The U.S. dollar index is higher early today. Meantime, the yield on the U.S. Treasury 10-year note is presently fetching 1.41%.

There was no major U.S. economic data released Monday.

page

Technically, February gold futures bulls have the slight overall near-term technical advantage amid recent choppy and sideways trading. Bulls’ next upside price objective is to produce a close above solid resistance at $1,800.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at the November low of $1,761.00. First resistance is seen at last week’s high of $1,794.30 and then at $1,800.00. First support is seen at today’s low of $1,782.20 and then at $1,775.00.

March silver futures prices hit a nine-week low Friday. The silver bears have the solid overall near-term technical advantage and gained more power today. Prices are in a three-week-old downtrend on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $23.00 an ounce. The next downside price objective for the bears is closing prices below solid support at the September low of $21.46. First resistance is seen at last week’s high of $22.635 and then at $23.00. Next support is seen at $22.00 and then at last week’s low of $21.815. Wyckoff’s Market Rating: 2.0.

March N.Y. copper closed down 30 points at 428.35 cents today. Prices closed near the session low today. The copper bulls and bears are on a level overall near-term technical playing field amid recent choppy trading. Copper bulls’ next upside price objective is pushing and closing prices above solid technical resistance at the November high of 451.15 cents. The next downside price objective for the bears is closing prices below solid technical support at the November low of 420.00 cents. First resistance is seen at Friday’s high of 435.95 cents and then at last week’s high of 439.80 cents. First support is seen at 425.00 cents and then at 420.00 cents

Posted by :

Jack Dempsey, President

401 Gokd Consultants LLC

jdemp2003@gmail.com