(Kitco News) - Gold prices are mildly higher in midday U.S. trading Wednesday. The yellow metal at mid-week is benefitting from the bullish elements of higher crude oil prices and a still-wobbly U.S. stock market. However, the bearish aspects of rising bond yields and a recent rebound in the U.S. dollar index are limiting the upside in gold. August gold futures were last up $5.60 at $1,857.70. July Comex silver futures were last down $0.048 at $22.13 an ounce.
Global stock markets were mixed overnight, with European shares mostly down and Asian shares mostly up. U.S. stock indexes are down at midday. The U.S. indexes are still shaky but have shown technical signs that near-term market bottoms are in place. However, bulls have not shown the power to start near-term price uptrends.
Two key data points of the week lie just ahead: the European Central Bank’s regular monetary policy meeting Thursday, at which the central bank is expected to lay out plans for tightening its monetary policy. On Friday the U.S. consumer price index report for May is set for release. The CPI is expected to be up 8.2%, year-on-year, after a rise of 8.3% in April.
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Central banks will continue to buy gold in 2022 - World Gold Council Survey |
The key outside markets today see Nymex crude oil prices higher and trading around $122.30 a barrel. The U.S. dollar index is firmer at midday. The yield on the 10-year U.S. Treasury note is fetching around 3.0%. For perspective, the German 10-year bund is yielding 1.316% and the 10-year U.K. gilt is yielding 2.241%.
![Live 24 hours gold chart [Kitco Inc.]](https://www.kitco.com/images/live/gold.gif?0.2924175530478188){kind=small}
Technically, August gold futures bears have the overall near-term technical advantage but the bulls are still working on a fledgling price uptrend. However, they need to show more power to keep it alive. Bulls' next upside price objective is to produce a close above solid resistance at $1,900.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,800.00. First resistance is seen at today’s high of $1,862.40 and then at the June high of $1,878.60. First support is seen at today’s low of $1,846.60 and then at this week’s low of $1,838.50. Wyckoff's Market Rating: 4.0.
![Live 24 hours silver chart [ Kitco Inc. ]](https://www.kitco.com/images/live/silver.gif)
July silver futures bears have the overall near-term technical advantage. However, the bulls are working on a fledgling price uptrend on the daily chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $23.00 an ounce. The next downside price objective for the bears is closing prices below solid support at $21.00. First resistance is seen at this week’s high of $22.565 and then at $23.00. Next support is seen at today’s low of $21.795 and then at the June low of $21.41. Wyckoff's Market Rating: 3.5.
July N.Y. copper closed up 140 points at 444.90 cents today. Prices closed nearer the session high today. The copper bulls have the overall near-term technical advantage. A three-week-old price uptrend is in place on the daily bar chart. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at last week’s high of 457.70 cents. The next downside price objective for the bears is closing prices below solid technical support at last week’s low of 425.90 cents. First resistance is seen at this week’s high of 447.20 cents and then at 450.00 cents. First support is seen at 440.00 cents and then at this week’s low of 437.05 cents. Wyckoff's Market Rating: 6.0.
