Gold prices are modestly lower in early U.S. trading Tuesday, as a solid rebound in the U.S. stock indexes and rising bond yields weigh on the safe haven metal on the first day of summer. August gold futures were last down $5.20 at $1,835.60. July Comex silver futures were last up $0.048 at $21.635 an ounce.
Global stock markets were mixed to higher overnight. U.S. stock indexes are pointed toward higher openings when the New York day session begins. U.S. markets were closed for the Juneteenth holiday on Monday. Trader and investor risk appetite has improved just a bit. Still, the U.S. stock indexes remain in price downtrends are not far above their recent bear-market lows. U.S. economic recession and inflation remain on traders’ and investors’ minds.
Bitcoin and other cryptocurrencies have this week rebounded from their recent slides, with Bitcoin up about 20% from its for-the-move low reached last Saturday.
The key outside markets today see Nymex crude oil prices solidly up and trading around $112.00 a barrel. The U.S. dollar index is lower in early trading. The yield on the 10-year U.S. Treasury note is fetching 3.275%. For perspective, the German 10-year bund is yielding 1.725% and the U.K. 10-year Gilt yield is at 2.593%.
U.S. economic data due for release Tuesday includes the Chicago Fed national activity index and existing home sales.
Technically, the August gold futures bears have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close in June futures above solid resistance at the June high of $1,882.50. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,800.00. First resistance is seen at the overnight high of $1,848.40 and then at $1,861.50. First support is seen at $1,825.00 and then at $1,816.30. Wyckoff’s Market Rating: 3.5