MKS: Gold Support Around $1,210-$1,220 Should Restrict Declines
Spot gold remains above chart support that starts around $1,220 an ounce, says MKS (Switzerland) S.A. “Trade concerns between the U.S. and China remain elevated and the ongoing U.S.-Saudi tensions are likely to continue to underpin a bid tone for bullion over the near term,” MKS says. “Supportive price action around $1,210-$1,220 should restrict declines amid current global political uncertainty, while a test through $1,230-$1,235 will likely squeeze further shorts out of the market and see gold toward $1,250.” Just before 8:30 a.m. EDT, spot gold was down $3.40 to $1,223.10 an ounce.
By Allen Sykoraof Kitco News; asykora@kitco.com
BBH: U.S. Treasury Yields, Global Stocks In Focus
Monday October 22, 2018 08:44
Investors will be closing watching U.S. yields and global equity markets this week, says Brown Brothers Harriman. Asian shares rallied Monday, led by a 4.1% rise in the Shanghai Composite as policymakers in the country rolled out more measures to support the economy and equity market. The government also cut personal income taxes. U.S. stock-index futures were pointing to a slightly higher open on Wall Street. “Meanwhile, the U.S. 10-year yield is edging higher and topped 3.20% Friday before stalling out,” BBH says. “Italian bonds continue to underperform, though the 10-year spread to Germany remains below last week’s high near 327 bp [basis points].The Federal Reserve’s Beige Book is scheduled for release Wednesday ahead of a Nov. 8 meeting of the Federal Open Market Committee. “While this report is not market-moving, we would expect an upbeat picture of the economy to emerge,” BBH says.
By Allen Sykoraof Kitco News; asykora@kitco.com
By Allen SykoraFor Kitco News
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asykora@kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.