(Kitco News) – Gold and silver prices are posting strong losses in early U.S. trading, amid keen uncertainty regarding U.S. tariffs on gold imports. December gold was last down $80.50 at $3,410.80. September silver prices were last down $0.682 at $37.865.
Gold prices have been hit hard today, after a strong rally early Friday, as traders await further clarification from the Trump administration over its gold import tariff policy. The administration had exempted the precious metal from duties back in April, and until there is long-term clarity precious metals markets may remain on edge. Joseph Cavatoni, senior market strategist for North America at the World Gold Council, wrote that “we see the various segments of the gold markets behaving in an orderly manner as the industry awaits this potential clarification”.
In other news, the Shanghai Composite rose 0.34% Monday, while the Shenzhen Component climbed 1.46%, extending last week’s gains as investors awaited news on whether the U.S.-China tariff truce will be extended ahead of the Tuesday deadline. Reports said China is seeking U.S. concessions on export controls for artificial intelligence chips as part of a trade deal, potentially ahead of a summit between Presidents Donald Trump and Xi Jinping.
The U.S. expects to largely complete trade negotiations with countries that have yet to secure a deal by the end of October, Nikkei Asia reported, citing an interview with U.S. Treasury Secretary Scott Bessent. The comments, made to Nikkei on Thursday and reported by Bloomberg, come after President Trump’s new tariffs took effect. Some key trading partners, including Canada, Mexico and Switzerland, are still seeking to secure better terms with the U.S.
The key outside markets today see the U.S. dollar index slightly up. Nymex crude oil futures are near steady and trading around $64.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently 4.26%.
There is no major U.S. economic data due for release Monday.
Technically, December gold futures bulls have the firm overall near-term technical advantage but faded today. Bulls’ next upside price objective is to produce a close above solid resistance at $3,500.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at the July low of $3,319.20. First resistance is seen at $3,450.00 and then at the overnight high of $3,466.30. First support is seen at $3,400.00 and then at $3,350.00. Wyckoff’s Market Rating: 7.0.
September silver futures bulls have the firm overall near-term technical advantage. Silver bulls’ next upside price objective is closing prices above solid technical resistance at the July high of $39.91. The next downside price objective for the bears is closing prices below solid support at the July low of $36.28. First resistance is seen at the overnight high of $38.56 and then at last week’s high of $38.875. Next support is seen at the overnight low of $37.65 and then at $37.50. Wyckoff’s Market Rating: 7.0.
Jim Wyckoff has spent over 25 years involved with the stock, financial and commodity markets. He was a financial journalist with the FWN newswire service for many years, including stints as a reporter on the rough-and-tumble commodity futures trading floors in Chicago and New York. As a journalist, he has covered every futures market traded in the U.S., at one time or another.
Jim is the proprietor of the “Jim Wyckoff on the Markets” analytical, educational and trading advisory service. Jim also worked as a technical analyst for Dow Jones Newswires and as the senior market analyst with TraderPlanet.com. Jim is also a consultant with the highly respected “Pro Farmer” agricultural advisory service. Jim was also the head equities analyst at CapitalistEdge.com. He received his degree from Iowa State University in Ames, Iowa, where he studied journalism and economics.
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