(Kitco News) – Gold and silver futures prices are higher in early U.S. trading Monday, with gold notching a nearly three-month high. This trading week is start out “risk-off,” which is prompting safe-haven buying in the precious metals markets. April gold futures were last up $13.90 at $1,856.00 and March Comex silver was last up $0.336 at $23.695 an ounce.
Traders and investors are showing keener risk aversion to start the trading week, as the U.S. says Russia could invade Ukraine any day now. The uncertainty on the matter is likely to continue to run high, as the U.S. response to a Russian invasion of Ukraine is a wild card—running the gamut of the U.S. slapping more sanctions on Russia, to participating in a full-blown ground war in Europe.
Global stock markets were mostly lower overnight. U.S. stock indexes are pointed toward firmer openings when the New York day session begins. The stock indexes did move well off their overnight lows on a news report that the Russian foreign minister Lavrov said there may be a path forward on negotiations with the U.S. and European countries.
Meantime, the yield on the U.S. 10-year Treasury note is presently fetching 1.93% after pushing above 2.0% late last week. Inflation worries are also buffeting the marketplace, led by surging energy prices.
The key outside markets today see crude oil prices weaker and trading around $92.50 a barrel after hitting a seven-year high overnight. The U.S. dollar index is a bit higher early today.
There is no major U.S. economic data due for release Monday. However, the pace picks up Tuesday, including the latest U.S. inflation report, the producer price index for January, which is seen coming in up 0.5% from December.
Technically, the April gold futures bulls have the solid overall near-term technical advantage and have momentum. Bulls’ next upside price objective is to produce a close in February futures above solid resistance at the November high of $1,882.50. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at Friday’s low of $1,821.10. First resistance is seen at last week’s high of $1,867.40 and then at $1,875.00. First support is seen at $1,850.00 and then at $1,840.00. Wyckoff’s Market Rating: 7.5
March silver futures bulls and bears are back on a level overall near-term technical playing field but the bulls have some momentum. Silver bulls’ next upside price objective is closing prices above solid technical resistance at the January high of $24.755 an ounce. The next downside price objective for the bears is closing prices below solid support at $22.00. First resistance is seen at today’s high of $23.80 and then at $24.00. Next support is seen at $23.50 and then at $23.25. Wyckoff’s Market Rating: 5.0.
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2022-02-14 13:32:00