Private equity buyer Waterton Global Resource Management Inc. is closing in on an acquisition of another gold mine in Nevada. The investment firm is planning to buy the property from Colorado-based gold and copper giant Newmont Mining Corp. The underground mine is called Midas, and it is already pumping out yellow metal.The Associated Press
Comex gold prices were trading solidly lower and hit a more-than-four-month low Wednesday afternoon, in the wake of a bearishly construed FOMC minutes report. February Comex gold was last down $25.80 at $1,248.60 (U.S.) an ounce. Spot gold was last quoted down $25.40 at $1250.25. March Comex silver last traded down $0.402 at $19.975 an ounce.
The U.S. Federal Reserve's FOMC minutes, released Wednesday afternoon, showed several members of the committee said at their October meeting that they could see the Fed tapering its $85-billion-a-month bond-buying program at "one of its next few meetings." The committee members also saw the U.S. economy growing at a "moderate" pace and talked about better articulating to the public its strategies and forward guidance.
Gold and silver prices immediately dropped to their session lows and hit multi-month lows following the FOMC minutes release. The U.S. dollar index shot to its daily high on the news, which was also a bearish signal for precious metals traders.
However, there is a large contingent of market watchers who said the latest FOMC minutes revealed not much new and said any Fed tapering move will first have to see better U.S. jobs data. This puts the U.S. employment report in early December high on traders' and investors' watch list.
The London P.M. gold fix is $1,257.00 versus the previous P.M. fixing of $1,257.75.
Technically, February gold futures were nearer the session low and scored a fresh more-than-four-month low in late trading. The gold market bears have the overall near-term technical advantage and gained more downside momentum Wednesday. Prices are in a three-week-old downtrend on the daily bar chart. The gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at $1,300.00. Bears' next near-term downside breakout price objective is closing prices below solid technical support at the June low of $1,187.90. First resistance is seen at $1,261.80 and then at $1,270.00. First support is seen at Wednesday's low of $1,246.70 and then at $1,240.00.
March silver futures were nearer the session low and hit another fresh 3.5-month low in late trading today. Silver bears have the solid overall near-term technical advantage and gained more downside momentum Wednesday. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at $21.00 an ounce. The next downside price breakout objective for the bears is closing prices below solid technical support at the August low of $19.30. First resistance is seen at $20.25 and then at Wednesday's high of $20.52. Next support is seen at Wednesday's low of $19.885 and then at $19.50.
March N.Y. copper closed down 25 points at 316.35 cents Wednesday. Prices closed nearer the session low. Bears have the near-term technical advantage. Copper bulls' next upside breakout objective is pushing and closing prices above solid technical resistance at 325.00 cents. The next downside price breakout objective for the bears is closing prices below solid technical support at the contract low of 305.00 cents. First resistance is seen at Wednesday's high of 318.95 cents and then at 320.00 cents. First support is seen at last week's low of 315.35 cents and then at this week's low of 313.50 cents.