Gold and silver struggle as we head into the European open

LONDON (Apr 25) Gold and silver both suffered at the weekend open. The yellow metal is down 0.80% and silver has lost 1.83% ahead of the European market open. In the rest of the commodities complex, copper (-1.54%) and spot WTI (-3.27%) have suffered heavily. 

As risk-off sentiment bites, indices in the Asia Pac area traded in the red. The Nikkei 225 (-1.95%), ASX (-1.57%), and Shanghai Composite (-4.57%) all fell overnight and European futures are pointing towards a negative open. 

In FX markets, the dollar index pushed even higher (0.48%) and the biggest mover was AUD/USD which fell 1.14%. In the crypto space, BTC/USD dropped 1.29%. 

News from the weekend and overnight:

French Emmanuel Macron defeated far-right leader Marine Le Pen in the French presidential election.

The COVID-19 resurgence is getting stronger in China. In Shanghai, a fresh round of mass testing will take place on Tuesday. COVID-19 is hitting Beijing now.

ECB President Lagarde says interest rate hike will not reduce energy prices.

U.K. Times reports the European Union will levy 'smart sanctions' on Russian oil imports.

A Libyan oil complex was damaged after armed clashes over the weekend.

Germany will increase borrowing plans by nearly 40 bn euros this year.

Ukraine President Zelensky meets with US Sec State Blinken in Kyiv.

Apple supplier Foxconn suspends production at two factories in the eastern city of Kunshan.

Japan services PPI 1.3% y/y (expected 0.6%, prior 1.1%).

Looking ahead to the rest of the session highlights include German Ifo, comments from ECB's Panetta and earnings continue. 

KITCO