Steady price action in gold, silver ahead of holiday
New York (Dec 24) Kitco News has launched its 2021 Outlook, which offers the most comprehensive coverage of precious metals markets in the new year. Trillions of dollars were pumped into financial markets in 2020 and that won't come without consequences. Economists expect that investors will be Bracing For Inflation in 2021.
(Kitco News) - Gold and silver futures prices are not straying too far from unchanged in subdued early U.S. trading on this Christmas Eve day. Look for a quiet trading session as many U.S. markets close early and traders are focused on the holiday season. February gold futures were last up $0.60 at $1,878.70 and March Comex silver was last down $0.071 at $25.85 an ounce.
Global stock markets that were open Friday were mostly up. Some European markets were closed for the Christmas holiday. Markets are closed on Christmas Day Friday. U.S. stock indexes are pointed toward slightly higher openings when the New York day session begins.
The marketplace remains tentative on this last trading day of the holiday-shortened week. President Trump unexpectedly vetoed a big U.S. defense spending bill on Wednesday and has held up a financial stimulus package for Americans that Congress had passed earlier this week. This comes at the same time the Covid-19 pandemic continues its rampage in the U.S., Europe and many other countries. Traders and investors are worried about the specter of more business and public restrictions coming soon.
On the bright side, European markets were upbeat on continued progress between the U.K. and the European Union on a smooth Brexit deal. Some reports said a deal could be reached on the matter soon.
The U.S. dollar index is lower in early U.S. trading. The other important outside market sees February Nymex crude oil futures prices weaker and trading around $47.75 a barrel. The yield on the benchmark 10-year U.S. Treasury note futures is currently trading around 0.94%.
There is no major U.S. economic data due for release Thursday as the U.S. government is closed for the Christmas Eve holiday.
Technically, the February gold futures bulls have the overall near-term technical advantage amid a price uptrend in place on the daily bar chart. However, bulls need to show fresh power soon to keep the uptrend alive. Bulls’ next upside price objective is to produce a close in February futures above solid resistance at the November high of $1,973.30. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,820.00. First resistance is seen at Tuesday’s high of $1,889.40 and then at $1,900.00. First support is seen at this week’s low of $1,859.00 and then at 1,850.00.
KITCONEWS
