Gold Slightly Higher as G20 Meeting Continues

Gold and silver prices are modestly higher in early U.S. trading Friday. This week’s price action in the precious metals has revived the bulls and given them technical momentum. Bullish weekly high closes on Friday would suggest still more gains to come next week. April Comex gold was last up $2.70 an ounce at $1,229.80. May Comex silver was last up $0.035 at $17.36 an ounce.

The marketplace is intently monitoring the Group of 20 finance ministers meeting in Germany that is taking place through the weekend. The specter of currency wars breaking out has become more plausible with the new U.S. Trump administration and its accusations that several major countries are currency manipulators.

U.S. President Trump meets German Chancellor Merkel at the White House Friday.

The key outside markets on Friday morning see the U.S. dollar index trading slightly higher on a tepid short-covering bounce. The greenback bulls have faded badly this week, to suggest the dollar index has put in a near-term market top. Meantime, Nymex crude oil prices are slightly higher today on a corrective and short-covering bounce after hitting a four-month low on Tuesday. The crude oil bears appear to be exhausted after recent strong selling pressure, which hints at a near-term market bottom being in place.

via Kitco

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza