Gold and silver move higher ahead of the European open

LONDON (MAY 10)  Gold (0.35%) and silver (1.05%) are heading into the European session on a positive note after some recent weakness. In the rest of the commodities complex, copper (0.60%) is also trading higher but spot WTI is down half a percent.  

Equities in the Asia-Pac area were mixed overnight. The Nikkei 225 (-0.58%) and ASX (0.98%) traded lower while the Shanghai Composite rose 0.87%. Futures in Europe are indicating a positive cash open. 

In FX markets, the greenback retreated mildly. The biggest mover overnight was AUD/USD which rose 0.26%. In the crypto space, BTC/USD dropped below $30K before quickly recovering to trade at $32.614.

News from overnight:

Biden says he is worried Russian President Putin doesn't have a way out of the Ukraine war.

China coronavirus - Beijing to do another round of mass testing in at least 3 areas.

China’s Vice Premier Liu He has reaffirmed China's Covid Zero policy.

Japan's finance minister won't say what levels can tolerate on weak yen.

Reports the U.S. is weighing ban on companies selling advanced chipmaking equipment to China.

BOJ's Uchida - No plan to change the 50 bps band set around the 10-year JGB target.

BOJ official says the Bank's monetary policy has pushed up prices, economy.

China’s fourth-largest property developer (by sales) is approaching a possible default.

BlackRock sees a 'rapidly worsening' outlook for China's economy and downgrades equities.

Quarterly retail sales data from Australia: Q1 +1.2% q/q (vs. expected +1.0%).

Australian April business confidence 10 (vs. prior 16).

Japanese March household spending +4.1% m/m and -2.3% y/y.

Australian weekly consumer confidence survey 90.5 (prior 90.7).

U.K. Consumer spending +18.1% from April 2019.

Looking ahead to the rest of the session highlights include German ZEW, comments from Fed's Williams, Waller, Bostic, Barkin, Kashkari, Mester, BoE's Saunders, ECB's de Guindos and U.S. President Biden. 

kitco