(Kitco, Tuesday, May 14TH, 2017 ) – Gold prices are slightly lower in early-morning U.S. trading Tuesday. Prices did poke to a four-week high overnight. The yellow metal is seeing a normal corrective pullback following Monday’s good gains, which put the bulls in a much better technical posture. June gold futures were last down $2.00 an ounce at $1,299.80. July Comex silver was last up $0.038 at $14.815 an ounce.
World stock markets were mixed overnight, with European indexes mostly higher and Asian stocks mostly weaker. U.S. stock indexes are pointed toward higher openings when the New York day session begins. The world stock markets are trying to stabilize following Monday’s rout in the wake of the failed U.S. trade talks and the imposition of new tariffs by the U.S. and China against each other.
There has been technical damage inflicted on U.S. stock indexes to suggest they have put in near-term tops and can now only trade sideways at best for at least the time being. That’s good news for precious metals market bulls, as the safe-haven metals are a competing asset class with equities.
The key “outside markets” today see the U.S. dollar index firmer. The greenback bulls have faded a bit recently. Meantime, Nymex crude oil prices are higher and trading around $62.00 a barrel. There are technical clues the oil market has put in a near-term top.