(Kitco News) - Gold prices are lower in midday U.S. trading Tuesday and lost a moderate earlier advance following some hawkish rhetoric coming from a Federal Reserve official. June gold futures were last down $7.40 at $1,926.50 and May Comex silver was last down $0.075 at $24.515 an ounce.
Comments from Federal Reserve governor Lael Brainard Tuesday morning that were more hawkish than expected spiked U.S. Treasury yields higher today, which also worked to pressure the precious metals markets. Brainerd said at a virtual conference, "it is of paramount importance to get inflation down." Brainerd also said the Fed will do a series of interest rate hikes this year, which was not unexpected by the marketplace. The benchmark U.S. 10-year Treasury note yield jumped on that news and is presently fetching 2.466%.
Global stocks markets were mixed to firmer overnight. The U.S. stock indexes are lower at midday. Stocks in Hong Kong and mainland China were closed for a holiday Tuesday. The civilian atrocities committed by Russian soldiers in Ukraine have ratcheted up trader and investor risk aversion this week as the West debates sanctioning Russian energy exports, which would be a crippling blow to the Russian economy, but also would severely disrupt energy supplies in Europe.
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Rising Covid cases in China are also of concern to the global marketplace, as is the specter of rising inflation. Traders will closely examine Wednesday afternoon's release of the minutes from the last FOMC meeting of the Federal Reserve, for clues on the future trajectory of U.S. monetary policy and inflation trends.
The 2-year/10-year U.S. Treasury notes yield curve is now inverted (2-year yield above 10-year), which is one historical clue, although not 100% predictive, that the U.S. is headed for economic recession.
Nymex crude oil prices are a bit weaker and trading around $103.00 a barrel. Meantime, the U.S. dollar index is higher today.
![Live 24 hours gold chart [Kitco Inc.]](https://www.kitco.com/images/live/gold.gif?0.2924175530478188){kind=small}
Technically, April gold futures bulls have the overall near-term technical advantage amid recent sideways and choppy trading. Bulls' next upside price objective is to produce a close above solid resistance at $1,967.20. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the March low of $1,888.30. First resistance is seen at $1,950.00 and then at $1,955.00. First support is seen at this week's low of $1,918.20 and then at $1,900.00. Wyckoff's Market Rating: 6.0
![Live 24 hours silver chart [ Kitco Inc. ]](https://www.kitco.com/images/live/silver.gif)
May silver futures bulls have the slight overall near-term technical advantage. However, prices are in a four-week-old downtrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $26.16 an ounce. The next downside price objective for the bears is closing prices below solid support at $23.50. First resistance is seen at $25.00 and then at $25.285. Next support is seen at this week's low of $24.385 and then at the March low of $24.045. Wyckoff's Market Rating: 5.5.
May N.Y. copper closed down 100 points at 477.15 cents today. Prices closed near the session low today after hitting a four-week high early on. The copper bulls have the overall near-term technical advantage. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at 500.00 cents. The next downside price objective for the bears is closing prices below solid technical support at the March low of 446.85 cents. First resistance is seen at today's high of 486.00 cents and then at 490.00 cents. First support is seen at 470.00 cents and then at last week's low of 464.20 cents. Wyckoff's Market Rating: 6.5.
