NEW YORK (Kitco News) - Gold and silver prices are slightly up in quieter early U.S. trading Monday.
This is the unofficial last week of summer for the U.S. Look for the marketplace to become more active next Tuesday, following the three-day U.S. Labor Day weekend holiday.
This is a big week for U.S. economic reports, so traders and investors are likely to become at least a bit more tuned in as the week progresses. December gold was last down up $2.70 at $1,942.50 and December silver was up $0.037 at $24.62.
Asian and European stock markets were mostly higher in overnight trading. U.S. stock indexes are pointed to slightly higher openings when the New York day session begins. News that China cut a key tax rate and pledged to shore up its capital markets boosted trader and investor attitudes in Asia.
The key outside markets today see the U.S. dollar index slightly firmer. Nymex crude oil futures prices are slightly higher and trading around $80.00 a barrel. The benchmark U.S. Treasury 10-year note is presently fetching 4.235%.
U.S. economic data due for release Monday is light and includes the Texas manufacturing outlook survey. The data pace picks up rapidly on Tuesday and it’s a big data week, including the employment situation report on Friday.
Technically, the gold futures bears have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close in December futures above solid resistance at $1,980.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,900.00. First resistance is seen at last week’s high of $1,951.30 and then at $1,963.50. First support is seen at Friday’s low of $1,931.00 and then at $1,926.20. Wyckoff’s Market Rating: 3.0
The silver bulls have the overall near-term technical advantage and have momentum. A fledgling price uptrend is in place on the daily chart. Silver bulls’ next upside price objective is closing December futures prices above solid technical resistance at the July high of $25.82. The next downside price objective for the bears is closing prices below solid support at the August low of $22.585. First resistance is seen at last week’s high of $24.785 and then at $25.00. Next support is seen at Friday’s low of $24.31 and then at $24.00. Wyckoff’s Market Rating: 6.0.