Precious metals sail higher after US data, crude breaches 107.00
NEW YORK (Aug 2) Precious metals sailed higher on the release of US data earlier, sending hold and silver soaring towards resistances that threaten to allay any bearishness.
Gold needs to hold above 1300.00
The US employment figures were mixed, as the U.S. economy added 162,000 jobs in July lower then expected, however unemployment rate ticked lower to 7.4%. The NFP number was slightly negative as markets were expecting a solid reading following the flow of strong economic data. Given these insights, a preferably neutral stance on gold is advised, despite the recent jump in prices – likely it is better to monitor how spot prices end the trading session today, and if till be able to close the session above the key 1300.00 barrier. At the time of writing, gold prices are trading at USD $1313.12 per oz. Friday.
Silver tests 20.00
The white metal has managed to hold its 19.25 support level, which if broken will clear the way to 18.70 and 18.20 downside targets. However, the advent of payroll data has sent silver spot prices surging back up the 20.00 region, though ultimately a bearish bias is maintained below 20.00. The price of silver has now moved to USD $19.94 per oz. during US trading.
WTI bullishness portended?
WTI crude oil continued to push lower, after the major bullish rally, which is a normal pullback after being excessively overbought. The price pushed through the 107.30-107.35 region as an initial downside support for today, which might force price to resume the bullish direction. In these moments, WTI crude oil is negotiating a price of USD $106.93/bbl Friday.