Gold and silver prices are just a bit higher in early U.S. trading Wednesday. February gold futures hit a six-month high overnight, while March silver notched a three-month high.
The two precious metals are being boosted by increasingly bullish near-term technical postures. A recently slumping U.S. dollar index that overnight hit a 3.5-month low is also a bullish outside market element for the metals markets. February gold was last up $0.70 at $2,060.90. March silver was last up $0.078 at $25.38.
Asian and European markets were mixed to firmer in overnight trading. U.S. stock indexes are pointed toward firmer openings when the New York day session begins.
In overnight news, the Euro zone got some upbeat economic news as its consumer confidence reading for November came in at plus 16.9 versus a reading of minus 17.8 in October. A reading of minus 16.9 was expected.
Meantime, Australia's consumer price index in October was reported up 4.9%, year-on-year, versus up 5.6% in September. The October reading was lower than market expectations.
The key outside markets today see the U.S. dollar index slightly higher. Nymex crude oil prices are higher and trading around $77.75 a barrel. An OPEC-plus meeting takes place this week. Reports say there have been cartel member disagreements on whether to further cut collective crude oil production. There is now no clear marketplace consensus on what OPEC will announce regarding its overall oil production. The yield on the benchmark U.S. Treasury 10-year note is presently fetching 4.286% and has fallen this week.
U.S. economic data due for release Wednesday includes the weekly MBA mortgage applications survey, the second estimate of third-quarter gross domestic product, preliminary corporate profits, the advance economic indicators report, the weekly DOE liquid energy stocks report and the Federal Reserve's beige book.
Technically, the gold futures bulls have the firm overall near-term technical advantage. Prices are in a six-week-old uptrend on the daily bar chart. Bulls' next upside price objective is to produce a close in March futures above solid resistance at $2,100.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,000.00. First resistance is seen at the overnight high of $2,072.70 and then at $2,085.00. First support is seen at $2,050.00 and then at this week's low of $2,022.00. Wyckoff's Market Rating: 7.0
The silver bulls have the firm overall near-term technical advantage. Prices are in a two-month-old uptrend on the daily bar chart. Silver bulls' next upside price objective is closing March futures prices above solid technical resistance at the July high of $26.10. The next downside price objective for the bears is closing prices below solid support at $23.50. First resistance is seen at the overnight high of $25.615 and then at the August high of $25.775. Next support is seen at $25.00 and then at this week's low of $24.68. Wyckoff's Market Rating: 7.0.
BDST: 1928 HRS, NOV 29, 2023