(Kitco News) – Gold and silver prices are are sharply up, with gold hitting a four-week high and trading back above $1,700.00 in late-morning U.S. trading Tuesday. Silver hit a more-then-four-month high today. The precious metals are benefitting from heavy short covering in the futures markets, perceived bargain hunting in the cash markets, and even some safe-haven demand as the crypto currency markets are selling off. December gold was last up $34.00 at $1,714.40 and December silver was up $0.601 at $21.53.
Rumors are swirling in the crypto markets regarding one exchange halting withdrawals, and that has apparently spooked all the crypto markets and has helped to boost safe-haven gold and silver.
Gold prices have risen 62% of the time over the six months following midterm U.S. elections, with a median return of 2%, according to a World Gold Council report using data going back to 1970.
Global stock markets were mostly higher overnight. U.S. stock indexes are higher as midday approaches. The U.S. mid-term elections on Tuesday are a focus for the marketplace this week. Pollsters are predicting the Democrats will lose the House and may lose the Senate.
Traders and investors are increasingly concerned about rising Covid cases in China, the world’s second-largest economy. Reports said the number of new cases climbed above 7,500 Monday–the highest since May. Guangzhou, capital of Guangdong province and the nation’s manufacturing hub, accounted for a third of the total cases. Broker SP Angel reports China is probably two years behind the West in its war with Covid infections. “While Chinese manufacturers gained market share in global markets when the West locked down, the nation now risks losing many overseas companies as the risk of ongoing lockdowns. Locking in workers risks their human rights.”
The key outside markets today see the U.S. dollar index lower after losing overnight gains. Nymex crude oil prices are weaker and trading around $91.25 a barrel. The 10-year U.S. Treasury note is yielding around 4.0%.
The U.S. gets its next report card on the inflation fight Thursday, with the release of the consumer price index report for October, which is seen coming in up 7.9%, year-on-year, compared to the 8.2% rise seen in the September report.
Technically, the gold futures bears have the slight overall near-term technical advantage but the bulls are gaining momentum. The recent choppy and sideways price action suggests a market bottom is in place. Bulls’ next upside price objective is to produce a close above solid resistance at $1,800.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at the November low of $1,618.20. First resistance is seen at the October high of $1,728.70 and then at $1,750.00. First support is seen at $1,700.00 and then at the overnight low of $1,667.10. Wyckoff’s Market Rating: 4.5
The silver bulls have the overall near-term technical advantage and gained more power today. A choppy, nine-week-old uptrend is in place on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at the June high of $22.80. The next downside price objective for the bears is closing prices below solid support at $20.00. First resistance is seen at $22.00 and then at $22.50. Next support is seen at $21.00 and then at this week’s low of $20.435 and then at $20.00. Wyckoff’s Market Rating: 6.5.
MTY Food Group Inc. says its profit and revenue both slid in its most recent quarter.
The restaurant franchisor and operator says its net income attributable to owners totalled $34.9 million in its third quarter, compared with $38.9 million a year earlier.
The results for the period ended Aug. 31 amounted to $1.46 per diluted share, down from $1.59 per diluted share a year prior.
The company behind 90 brands including Manchu Wok and Mr. Sub attributed the fall to impairment charges on property, plants and equipment along with intangibles assets.
Its revenue decreased slightly to $292.8 million in the quarter from $298 million a year ago.
While CEO Eric Lefebvre saw the quarter as a sign that the company’s ongoing restructuring is starting to bear fruits, he said the business was also hampered by significant delays in construction and permitting that resulted in fewer locations opening.
This report by The Canadian Press was first published Oct. 11, 2024.
Taiga Motors Corp. says the Superior Court of Québec has approved its sale to a British electric boat entrepreneur.
The Montreal-based maker of snowmobiles and watercraft says it will be purchased by Stewart Wilkinson.
Wilkinson’s family office is behind marine electrification brands that include Vita, Evoy, and Aqua superPower.
Wilkinson and Taiga did not reveal the terms or value of the deal but say Wilkinson will assume Taiga’s debt to Export Development Canada and has committed to funding Taiga’s business plan.
The companies say the transaction will allow them to achieve greater economies of scale and deliver high-performance products at compelling prices to accelerate the electric transition.
The sale comes months after Taiga sought bankruptcy protection under the Companies’ Creditors Arrangement Act to cope with a cash crunch.
This report by The Canadian Press was first published Oct. 11, 2024.
Toronto-Dominion Bank is facing fines totalling about US$3.09 billion from U.S. regulators in connection with failures of its anti-money laundering safeguards.
The bank also received a cease-and-desist order and non-financial sanctions from the Office of the Comptroller of the Currency that put limits on its growth in the U.S. after it was found that TD had “significant, systemic breakdowns in its transaction monitoring program.”
![Live 24 hours gold chart [Kitco Inc.]](https://www.kitco.com/images/live/gold.gif?0.2924175530478188){kind=small}
![Live 24 hours silver chart [ Kitco Inc. ]](https://www.kitco.com/images/live/silver.gif)
