(Kitco News) – Gold prices continue to climb, hitting another record high overnight at $2,384.50 for June Comex gold. This increase follows a trend of more and more traders flocking to the bullish gold and silver markets. There is a growing consensus among traders that there is still significant upside potential for both metals in the near term, driven by safe-haven buying. Silver prices also saw a slight increase, reaching a nearly three-year high overnight at $28.44 for May Comex futures. June gold is currently up $12.80 at $2,363.90, while May silver is up $0.073 at $27.875. Notably, gold has been outperforming the S&P 500 so far this year.
Market Events to Watch
U.S. stock indexes are weaker near midday, with a quieter U.S. data day on Tuesday. However, market activity is expected to pick up on Wednesday with the release of the March consumer price index and the minutes of the last FOMC meeting. Analysts anticipate the March CPI to show a 3.4% year-on-year increase, while the core CPI, excluding food and energy, is projected to be up 3.7% annually. Thursday will see the release of the U.S. March producer price index and the European Central Bank monetary policy meeting.
Market Trends and Outlook
Technically, June gold futures bulls maintain a strong overall near-term technical advantage, with a seven-week-old uptrend on the daily bar chart. The next target for bulls is to close above resistance at $2,400.00, while bears aim to push prices below support at $2,250.00. Similarly, May silver futures prices hit a nearly three-year high, with silver bulls holding a solid overall near-term technical advantage and an accelerating price uptrend on the daily bar chart. The next target for silver bulls is closing prices above resistance at $30.00, while the downside objective for bears is closing prices below support at $26.40.
May N.Y. copper closed up today at 428.10 cents, near the session low. The copper market is also showing a solid overall near-term technical advantage, with prices in a two-month-old uptrend. Copper bulls are eyeing closing prices above resistance at 450.00 cents, while the downside objective for bears is closing prices below support at 400.00 cents.
