Gold and Silver Prices
Gold and silver prices are not straying too far from unchanged levels in early U. S. trading Tuesday, just ahead of the Federal Reserve’s monetary-policy-setting meeting. Safe-haven bids amid the Israel-Hamas war and the potential for a wider Middle East conflict are keeping a floor under gold and silver prices at present.
Central Bank Meetings
Focus this week is on central bank meetings of the Federal Reserve, the Bank of England, and the Bank of Japan. The Fed’s FOMC meeting begins Tuesday morning and ends Wednesday afternoon with a statement and press conference from Fed Chairman Powell. Most of the marketplace expects the FOMC to pause in its interest-rate-increase cycle.
Market Updates
- In overnight news, China’s manufacturing slipped back into contraction in October, while the services sector growth unexpectedly slowed down, Bloomberg reported.
- The Euro zone got some much tamer inflation news as its consumer price index for October came in up 2.9%, year-on-year, compared to up 4.3% in September. Euro zone third-quarter GDP came in down 0.1% from the second quarter and up 0.1%, year-on-year.
- In other news, reports said the World Gold Council says central bank gold-buying surged to 800 tons in the first nine months of this year and could hit a record in 2023.
- The key outside markets today see the U. S. dollar index slightly down. Nymex crude oil prices are firmer and trading around $83.00 a barrel. The yield on the benchmark U.S. Treasury 10-year note is presently fetching 4.814%.
Technical Analysis
Technically, the gold futures bulls have the near-term technical advantage. Prices are trending higher on the daily bar chart. Silver bulls have the overall near-term technical advantage. Prices are trending higher on the daily bar chart.
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