America News Agency

In U.S. gold futures, February gold was last up $7.90 at $4,240. March silver prices, however, fell $1.16 to $57.45.

The latest weekly U.S. jobless claims data showed that applications for unemployment benefits fell last week to their lowest level in more than three years, indicating that employers are largely holding on to their workers despite recent layoff announcements. The report was seen as slightly bearish for precious metals, but it did not alter the course of U.S. Federal Reserve monetary policy. The U.S. Federal Open Market Committee (FOMC) is expected to cut U.S. interest rates by a quarter point at its meeting next week.

In key outside markets today, the U.S. dollar index continued its decline ahead of the Fed’s widely anticipated rate-cut decision, slipping on Friday to just below 99, at 98.967. Crude oil prices moved higher and were trading around $59.50 a barrel. The yield on the benchmark 10-year U.S. Treasury note currently stands at 4.1%.

From a technical standpoint, February gold futures bulls have the next upside price target of producing a close above solid resistance at the contract/record high of $4,433. Bears’ next short-term downside price target is to push futures prices below solid support at $4,100. First resistance is seen at Wednesday’s high of $4,273.30 and then at $4,300. First support is seen at $4,200 and then at Tuesday’s low of $4,194.

March silver futures bulls hold a solid short-term technical advantage overall. Their next upside price objective is to close above strong resistance at $60. Bears’ next downside price objective is to produce a close below solid support at $55. First resistance is seen at the contract high of $59.655 and then at $60.