Modest price pressure on gold, silver; fresh news awaited
Mon Oct 14 2024
Gold and silver prices are modestly down in early U.S. trading Monday, on a quieter news day and as traders await new fundamental inputs to help drive price action. A higher U.S. dollar index and lower crude oil prices to start the trading week are bearish outside-market forces working against the precious metals markets today. December gold was last down $5.40 at $2,670.90 and December silver was down $0.32 at $31.435.
Asian and European stock indexes were mixed overnight. U.S. stock indexes are pointed to mixed to slightly firmer openings when the New York day session begins. The S&P 500 stock index futures hit a record high overnight.
China September economic data released Monday and over the weekend was again downbeat. Trade data came in weaker than expected. Consumer inflation slowed and deflation among manufacturers persisted. The September consumer price index was up 0.4%, year-on-year, while the producer price index was down 2.8% annually. China’s exports in September were up 2.4% and imports were up 0.3%--both below market expectations. The Chinese finance minister on Saturday commented on the economic stimulus plans to prop up the world’s second-largest economy but the marketplace was disappointed due to lack of specifics.
The latest CFTC Commitments of Traders report on Friday showed gold speculators again reduce their net long futures positions from a 54-month high recorded at the end of September. However, net speculative longs remain at elevated levels. “Conversely, aggregate ETF/ETC flows have turned negative over the last week, with net inflows to U.S. vehicles being more than matched by net outflows elsewhere, perhaps prompted by stale bulls taking profits on local currency gold gains,” said Frank Watson from Kinesis Money.
The key outside markets today see the U.S. dollar index higher. Nymex crude oil prices are lower and are trading around $73.75 a barrel. OPEC has just trimmed its global oil demand outlook. The benchmark 10-year U.S. Treasury note yield is presently fetching 4.10%.
There is no major U.S. economic data due for release Monday.
Gold and silver prices are modestly down in early U.S. trading Monday, on a quieter news day and as traders await new fundamental inputs to help drive price action. A higher U.S. dollar index and lower crude oil prices to start the trading week are bearish outside-market forces working against the precious metals markets today. December gold was last down $5.40 at $2,670.90 and December silver was down $0.32 at $31.435.
Asian and European stock indexes were mixed overnight. U.S. stock indexes are pointed to mixed to slightly firmer openings when the New York day session begins. The S&P 500 stock index futures hit a record high overnight.
China September economic data released Monday and over the weekend was again downbeat. Trade data came in weaker than expected. Consumer inflation slowed and deflation among manufacturers persisted. The September consumer price index was up 0.4%, year-on-year, while the producer price index was down 2.8% annually. China’s exports in September were up 2.4% and imports were up 0.3%--both below market expectations. The Chinese finance minister on Saturday commented on the economic stimulus plans to prop up the world’s second-largest economy but the marketplace was disappointed due to lack of specifics.
The latest CFTC Commitments of Traders report on Friday showed gold speculators again reduce their net long futures positions from a 54-month high recorded at the end of September. However, net speculative longs remain at elevated levels. “Conversely, aggregate ETF/ETC flows have turned negative over the last week, with net inflows to U.S. vehicles being more than matched by net outflows elsewhere, perhaps prompted by stale bulls taking profits on local currency gold gains,” said Frank Watson from Kinesis Money.
The key outside markets today see the U.S. dollar index higher. Nymex crude oil prices are lower and are trading around $73.75 a barrel. OPEC has just trimmed its global oil demand outlook. The benchmark 10-year U.S. Treasury note yield is presently fetching 4.10%.
There is no major U.S. economic data due for release Monday.
Source: https://www.kitco.com/