US Gold futures prices finished pit trade moderately lower Tuesday, pressured by Bearish outside markets that included a firmer USD index and lower Crude Oil prices.
The Gold market is also seeing some consolidation on the charts after recent gains. But, the Gold market Bulls must step up and show fresh power very soon to keep the modest near-term technical momentum mate late last week.
Jun Gold last traded off 12.40 at 1,576.30 oz.
Spot Gold was last quoted off 15.00 at 1,578.00 oz.
Jul Comex Silver last traded down 0.136 at 28.185 oz.
The market received a negative surprise overnight when the Fitch credit rating agency downgraded Japan's sovereign debt rating due to the increasing public sector debt load.
That set the tone for a risk off trading day in the market place, which was Bearish for most markets, including the precious metals.
Traders are now awaiting a EU leaders' Summit meeting in Brussels Wednesday. Traders and investors want to see the next steps that will be taken by officials to try to clean up the EU debt crisis, namely Greece's present problems.
Also, Wednesday the Western powers meet with Iran in Baghdad, regarding Iran's nuclear program. The talk is that the Baghdad meeting could mean progress, which would be further Bearish news for the Crude Oil market.
Precious metals traders and investors are continuing to monitor US, EU and Chinese economic data for early clues on monetary policy actions from the central banks.
The USD Index was firmer Tuesday. The index Friday hit a 4-month high. The Greenback has benefited recently on fresh safe-haven demand.
The USD Index Bulls have some Northside near-term technical momentum.
Crude Oil futures prices were lower Tuesday after hitting a 6.5-month low of 91.12 bbl Monday. Crude Oil remains in a Bearish fundamental and technical mode.
WTI Crude Oil 91.66 -0.91 (-0.98%)
The London PM Gold fixing was 1,582.50 vs. the prior London PM fixing of 1,592.50.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.