(Kitco News) – Gold and silver prices are firmer in early U.S. trading Thursday, on mild corrective rebounds following recent selling pressure. The precious metals bulls are still tentative following this week’s warmer U.S. consumer price index report. April gold was last up $4.20 at $2,008.50. March silver was last up $0.278 at $22.665.
Asian and European stock markets were mixed to firmer in overnight trading. U.S. stock index futures are set to open just slightly higher when the New York day session begins. Reads a Wall Street Journal headline today: “Chip frenzy pushes Taiwan stocks to all-time high.”
The next U.S. inflation report comes with Friday’s producer price index report for January, seen coming in at up 0.1% from December, compared to a 0.1% month-on-month decline in the December PPI report. A Wall Street Journal headline today reads: “Pro Take: No big consumer price declines are in sight.”
The key outside markets today see the U.S. dollar index a bit weaker after hitting a three-month high Tuesday. Nymex crude oil prices are lower and trading around $76.00 a barrel. Reads a Dow Jones Newswires headline today: Higher global oil supply set to satisfy demand increase, IEA says.”
The yield on the benchmark 10-year U.S. Treasury note is presently fetching 4.226%.
It’s a very busy U.S. data release day Thursday, including the weekly jobless claims report, the Empire State manufacturing survey, the Philadelphia Fed business survey, retail sales, import and export prices, industrial production and capacity utilization, manufacturing and trade inventories, the NAHB housing market index, and Treasury international capital data.
Technically, the gold futures bears have the slight overall near-term technical advantage. Prices are in a 2.5-month-old downtrend on the daily bar chart. Bulls’ next upside price objective is to produce a close in April futures above solid resistance at the February high of $2,083.20. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,950.00. First resistance is seen at $2,010.30 and then at $2,023.30. First support is seen at $2,000.00 and then at this week’s low of $1,996.40. Wyckoff’s Market Rating: 4.5.
The silver bears have the firm overall near-term technical advantage. Prices are in a nine-week-old downtrend on the daily bar chart. Silver bulls’ next upside price objective is closing March futures prices above solid technical resistance at $23.445. The next downside price objective for the bears is closing prices below solid support at the October low of $21.17. First resistance is seen at $22.00 and then at this week’s high of
$23.15. Next support is seen at the overnight low of $22.40 and then at $22.00. Wyckoff’s Market Rating: 3.5.
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