Gold, silver sell off on firmer USDX, technical pressure

NEW YORK (December 30) Gold and silver prices are solidly down in midday U.S. trading Monday. A rally in the U.S. dollar index is a bearish daily “outside-market” element for the precious metals. Technical-based selling from the shorter-term futures traders is also featured today, amid a lack of fresh, bullish fundamental news recently. Look for a quieter trading day Tuesday, what with the New Year holiday coming on Wednesday when most markets worldwide are closed. February gold was last down $18.60 at $2,613.20 and March silver was down $0.558 at $29.41.

The key outside markets today see the U.S. dollar index higher. Bloomberg reports “the dollar is headed for its best year in almost a decade as U.S. economic strength reins in expectations for the Federal Reserve’s rate-cutting cycle, and Trump’s threats of harsh tariffs underpin bullish bets on the currency.” Meantime, Nymex crude oil futures prices are firmer and trading around $71.25 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently 4.553%.

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