The price of gold goes up after 8 months. down as bargain shoppers enter

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(Kitco News) – Gold futures prices are moderately higher at the start of U.S. trading on Friday and rebounded after hitting an eight-month low overnight. Potential bargain buyers have entered the market to end the trading week, recognizing that the gold market has been brought down enough and must at least make a decent upward correction in the downward trend on the daily chart. Silver prices are solidly higher. April gold futures rose $ 8.40 to $ 1,783.60 and March Comex silver rose $ 0.492 to $ 27.56 an ounce.

Precious metal bulls are also benefiting from a lower US dollar index on this day.

The global stock markets were mixed overnight. US stock indexes point to firmer openings when the New York Day session begins. Global stock markets are ending a mixed week in silence. Overnight, the MSCI Asia Pacific index remained largely unchanged, while Japan’s Topix index closed down 0.7%. In Europe, the Stoxx 600 Index has risen slightly.

Broker SP Angel said in an e-mail dispatch this morning: “Copper and nickel prices continued to rise on Friday, reaching multi-year highs along with tin, as the world seeks to build its way out of a recession fueled by Covid. Investors are beginning to realize that the mine’s capacity is insufficient to allow a rapid transition to a more environmentally conscious global economy. While the United States, China, the EU, the United Kingdom and other countries are looking to launch their own packages of environmental initiatives, the post-crisis demand for industrial metals is expected to exceed the short and medium term supply. ”As these industrial metals go up, the gold and silver markets may be attracted to the ride.

The other key “foreign market” today sees Nymex oil futures prices falling and trading at around $ 59.50 a barrel. The United States wants to talk to Iran about its nuclear ambitions, and that could put more Iranian oil on the world market in the coming months. The yield on 10-year United States Treasury bills is reaching 1.308%. Yields on government bonds are on the rise, offering a more competitive asset class that may be pulling money out of the stock markets.

US economic data due for release on Friday include the US flash service, manufacturing PMIs and existing home sales. US economic data is suggesting that the world’s largest economy is gaining momentum, highlighted by this week’s retail sales report for January, showing an unexpected increase.

Technically, gold futures in February have the firm overall short-term technical advantage amid a five-week price downtrend on the daily chart. The Bulls’ next bullish price target is to produce a close on the February futures above the solid resistance at $ 1,800.00. The bears’ next short-term low price objective is to push future prices below solid technical support to $ 1,750.00. The first resistance is seen on Thursday’s $ 1,788.80 high and then on Wednesday’s $ 1,794.20 high. The first support is seen at the $ 1,759.00 night low and then at $ 1,750.00. Wyckoff market rating: 3.0

March silver futures bulls have a general short-term technical advantage. The next bull bull price target is to close prices above solid technical resistance at the February high of $ 30.35 an ounce. The bears’ next downside price target is closing prices below solid support at $ 26.00. The first resistance is seen at today’s high of $ 27.71 and then at $ 28.00. The next support is seen at $ 27.00 and then last week’s low at $ 26.75. Wyckoff’s market rating: 6.5.