Gold prices fell slightly in midday trading in the United States on Friday (July 31st), primarily due to minor profit-taking. Silver prices fell sharply, hitting a four-week low, with significant long-settling selling in the futures market. December gold futures (typically trading over a dozen dollars above spot gold) were trading at $3,348.10, down $4.70. September silver futures were trading at $36.69, down $1.049.



Gold prices weakened, and silver futures came under strong selling pressure, driven at least in part by spillover selling from the copper market's plunge over the past two days. President Trump's new tariffs on copper imports dealt a surprise blow to the copper futures market, sending prices plummeting. Broker SPAngel said in an email today: "The copper futures market is in dire straits – Trump exempted refined copper from his previously mentioned 50% tariffs and refrained from imposing immediate tariffs on copper or copper products." U.S. copper futures fell as much as 6% overnight, extending Wednesday's record 18% plunge after Trump excluded refined copper from the tariffs set to take effect on Friday.

In other news, gold purchases by central banks and jewelers declined in the second quarter due to recent record highs in gold prices. Data from the World Gold Council shows that central banks purchased 166.5 tons of gold in the first three months of the year, a decrease of one-third from the first quarter, bringing total gold purchases in the first half of this year to the lowest level since 2022. Global central bank gold demand is expected to be approximately 815 tons in 2025.

Key external market conditions today: The US dollar index rose slightly; crude oil futures prices on the New York Mercantile Exchange fell to around $68.75 per barrel; the benchmark 10-year US Treasury bond yield is currently around 4.3%.

Metals traders are eagerly awaiting the U.S. Labor Department's jobs report due on Friday morning, with nonfarm payrolls expected to show an increase of about 100,000 in July.


(Source of spot gold 1-hour chart: Yihuitong)

Technically, December gold futures bulls still have the overall near-term technical advantage, but momentum has weakened. Bulls' next upside price objective is closing prices above key resistance at the July high of $3,509.00. Bears' near-term downside price objective is pushing futures prices below key technical support at $3,300.00. First resistance is Wednesday's high of $3,389.30, followed by $3,400.00. First support is this week's low of $3,319.20, followed by the June low of $3,307.40.

While September silver futures bulls still hold the overall short-term technical advantage, momentum is rapidly fading, with the uptrend on the daily chart broken. Silver bulls' next upside price objective is closing prices above key resistance at this week's high of $38.51. The next downside price objective for the bears is closing prices below key support at $35.00. First resistance is seen at the overnight high of $37.285, followed by $38.00. Next support is seen at the overnight low of $36.28, followed by $36.00.

At 00:12 Beijing time, spot gold was trading at $3,290.72 per ounce, up 0.48%. Spot silver was trading at $36.548 per ounce, down 1.48%. COMEX gold was trading at $3,343.9 per ounce, down 0.27%. COMEX silver was trading at $36.63 per ounce, down 2.94%.