Gold holds near $4,330 as Hormuz volatility meets firmer dollar
Spot gold prices are near steady and spot silver prices are higher in early U.S. trading Monday, as oil pulled back from overnight highs, U.S. equity futures recovered and traders looked ahead to Wednesday’s May inflation report. At the time of writing, spot gold was trading near $4,332.20 an ounce, up 0.07%, while spot silver was trading at $68.725, up 1.31% on the session.
Friday’s employment report remains the main macro overhang for precious metals. U.S. employers added 172,000 jobs in May, while the unemployment rate held at 4.3%. The jobs print kept rate-cut expectations under pressure and left gold trading below the 200-day moving average after its steepest weekly loss since March.
Israel and Iran exchanged fire on Sunday for the first time since the April ceasefire, Iran later said it was halting offensive operations and President Donald Trump urged both sides to stop shooting. The market impact is volatile but not disorderly: Brent briefly traded near $98 a barrel before falling back toward the mid-$90s, U.S. equity futures turned higher from last week’s tech-led selloff and government bond yields eased from earlier highs as oil gave back part of the risk premium. Gold is receiving residual geopolitical support, but the stronger dollar and higher-for-longer rate backdrop are capping the rebound.
U.S. equity futures pointed higher before the open, with S&P 500 futures up 0.7%, Nasdaq futures up 1.3% and Dow futures up 0.3%. Marvell Technology rose 8% in premarket trading after the AI-chip designer was added to the S&P 500, while Apple’s developers conference, scheduled to begin at 1 p.m. ET, put AI software updates back in focus after Friday’s sharp technology selloff.
The key outside markets see Nymex WTI crude oil prices higher and trading around $91.78 a barrel, while Brent crude was near $94.38. The U.S. dollar index is firmer. The yield on the benchmark 10-year U.S. Treasury note is higher in early trade.
Technically, spot gold bulls’ next upside price objective is to push prices back above the $4,340.00 to $4,460.00 resistance zone, with a sustained move targeting $4,500.00 and then $4,595.00. Bears’ next near-term downside price objective is a break below $4,300.00, with deeper downside targets at $4,239.00 and then $4,200.00. First resistance is seen at $4,340.00 and then at $4,460.00. First support is seen at $4,300.00 and then at $4,239.00.
Spot silver bulls’ next upside price objective is to drive prices back above the $68.00 to $72.70 area, with a move above that zone targeting the $72.00 to $74.00 supply zone and then $78.00. The next downside price objective for the bears is a break below $65.50, with deeper downside targets at $63.39 and then $60.00. First resistance is seen at $68.00 and then at $72.70. Next support is seen at $65.50 and then at $63.39.
