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(Kitco News) – Gold prices are slightly lower in early U.S. trading on Tuesday, as a strong rebound in U.S. stock indices and rising bond yields weigh on the safe-haven metal on the first day of summer. August gold futures were last down $5.20 at $1,835.60. July Comex silver futures last rose $0.048 to $21.635 an ounce.
Global equity markets were mixed higher overnight. US stock indices are trending towards higher opens as the day’s session in New York begins. US markets were closed for the June 19 holiday on Monday. The risk appetite of traders and investors improved slightly. Still, US equity indices remain in downward price trends that are not far above their recent bear market lows. The US economic recession and inflation remain on the minds of traders and investors.
Bitcoin and other cryptocurrencies rebounded this week from their recent falls, with bitcoin up around 20% from its bottoming move hit last Saturday.
Major outside markets are seeing Nymex Crude Oil prices rise solidly today and trading around $112.00 a barrel. The US Dollar Index is lower in early trading. The yield on the 10-year US Treasury bond reached 3.275%. For perspective, the German 10-year Bund is yielding 1.725% and the UK 10-year Gilt yield is at 2.593%.
US economic data due out Tuesday includes the Chicago Fed National Activity Index and existing home sales.
Technically, August gold futures have the overall short-term technical advantage. The Bulls’ next upside price objective is to produce a June futures close above strong resistance at the June high of $1,882.50. Bears next short-term downside price objective is to push futures prices below strong technical support at $1,800.00. First resistance is seen at the overnight high of $1,848.40 and then at $1,861.50. First support is seen at $1,825.00 and then at $1,816.30. Wyckoff Market Rating: 3.5
July silver futures have the overall short-term technical advantage. The next upside price objective for silver bulls is to close prices above strong technical resistance at the June high of $22.565 an ounce. The next downside price objective for the bears is to close prices below strong support at the May low of $20.42. The first resistance is seen at $22.00 and then at $22.25. The next support is seen at the overnight low of $21.43 and then at $21.25. Wyckoff Market Rating: 3.0.
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