(Kitco News) – Gold and silver prices are consistently higher and reached a five-week high early Monday in the US. There is a demand for shelter savings and purchases based on graphs. Gold futures for June delivery were up $ 23.40 at $ 1,998.30 and May Comex Silver was up $ 0.66 at $ 26,365 an ounce.
Global stock markets were mixed overnight. US stock indexes show weaker openings when the New York session begins. Markets in Hong Kong, Australia and much of Europe remained closed for Easter Monday. Risk aversion remains heightened amid the Russia-Ukraine war that shows no signs of ending soon and the Covid bombing in China that has locked major cities in the world’s second-largest economy. Stock traders also focus on corporate earnings reports.
A feature in the market for the start of the trading week is the rise in US bond yields. The yield on the 10-year US benchmark bond is currently at 2.884%. which is high over three years. A Dow Jones Newswires headline today says: “Sell off bonds, worst in decades, rattle investors.” Inflation worries and the aggressive Federal Reserve have pushed bond yields up (prices down). However, the carefully monitored yield curve does not see 2-year and 10-year yields reversed, as the 10-year yield remains above 2 years.
In the news, China’s first-quarter GDP grew 4.8 percent year-on-year. This compares with a 4.0% rise in the fourth quarter of last year and the consensus forecast for a 4.6% rise in the first quarter. On the downside, however, China’s retail sales in March were down 3.5% from the same period last year. In the first two months of this year there was an increase in retail sales by 6.7%, from year to year. Home sales fell 25.6% in the first quarter.
Nymex crude futures are currently trading at around $ 107.00 a barrel. The US dollar index is higher early today and close to last week’s two-year high.
The US financial data expected to be released on Monday is light and includes the NAHB index of the housing market.
Technically, June gold futures contracts have the steady general short-term technical advantage. The next bullish price target for the Bulls is to create a close in the April futures contracts above the significant resistance at $ 2,000.00. Bears’s next short-term downside target is to push futures below stable technical support to $ 1,950.00. The first resistance appears at $ 2,000.00 and then at $ 2,018.30. The first support appears at the overnight low of $ 1,974.40 and then at $ 1,962.70. Wyckoff market rating: 7.5
Future silver bulls can have the steady general short-term technical advantage. The next bullish price target of the Silver bulls is to close the prices above the stable technical resistance at the March high of $ 27,495 an ounce. The next bearish price target for the bears is closing below $ 25.00. The first resistance appears at $ 26.50 and then at $ 27.00. The next support appears at $ 26.00 and then at the overnight low of $ 25,805. Wyckoff market rating: 7.5.
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