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(Kitco News) – Gold and silver prices rose slightly in midday US trading on Tuesday and lost strong early gains after some stronger-than-expected US economic data and higher US bond yields. Metals were supported by higher crude oil prices, which hit a nine-week high earlier today, and sharp daily losses in the US dollar index. However, crude oil prices fell as the session progressed. Gold futures for June last rose $2.50 to $1,816.50. Comex silver futures for July rose $0.134 to $21.685 an ounce.
The US retail sales report for April showed a rise of 0.9%, which was close to market expectations. With that said, retail sales for March were revised to 1.4%. US industrial production for the month of March came in strong at 1.1% versus expectations for a rise of 0.5%. Following the release of these reports, metals started falling from their overnight highs.
US stock indices are higher at midday. The market was more bullish on Tuesday about reports that China will begin easing lockdowns in major cities, including Hong Kong and Shanghai.
The market will be watching an interview scheduled in the Wall Street Journal with Federal Reserve Chairman Jerome Powell this afternoon. Traders and investors will be keen to see if Powell has indicated aspects of the timing of the Fed’s monetary policy and/or inflation, as well as the possibility of the US economy entering a recession.
Major overseas markets today are seeing NYMEX crude oil futures prices weaker after hitting a nine-week high early, and are currently trading around $113.00 a barrel. Meanwhile, the US dollar index fell. The yield on the 10-year US Treasury is around 2.9%.
Technically speaking, June gold futures prices are seeing a nine-week bearish price trend on the daily bar chart. Bears have a strong overall technical advantage in the short term. The next bullish price target for the bulls is to produce a close above the solid resistance at $1,875.00. The bears’ next bearish price target in the near term is pushing futures prices below the strong technical support level at $1750.00. We notice first resistance at the day’s high at $1,834.80 and then at $1,850.00. The first support is seen at $1,800.00 and then this week’s low at $1,785.00. Wyckoff Market Rating: 3.0
Silver futures for July are seeing a sharp downward trend in prices on the daily bar chart. Silver speculators have a strong overall technical advantage in the near term. The next bullish price target for the silver bulls is to close prices above the strong technical resistance at $23.00 an ounce. The next target for the bears downtrend price is a price close below the strong support level at $20.00. We see the first resistance at $22.00, then $22.50. The next support appears at $21.50 then $21.00. Wyckoff Market Rating: 2.0.
Copper in New York in July closed 445 points at 423.50 cents today. Prices closed near the session low today. Copper bears have a strong overall technical advantage in the near term. The downtrend of the price is still valid on the daily bar chart. The next bullish price target for the copper bulls is to propel and close prices above the strong technical resistance at 445.00 cents. The next target for the bears downtrend price is to close prices below the strong technical support at 400.00 cents. We notice first resistance at the day’s high at 428.35 cents at 430.00 cents. We see first support at today’s low at 420.30 cents and then at this week’s low at 413.35 cents. Wyckoff Market Rating: 2.5.
Not giving an opinion: The opinions expressed in this article are those of the author and may not reflect the opinions of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; However, Kitco Metals Inc. cannot. Nor does the author guarantee this accuracy. This article is for informational purposes only. It is not a solicitation to conduct any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. does not accept The author of this article will be liable for losses and/or damages arising from the use of this publication.