This morning it was reported that over 6.6 million Americans have filed for unemployment last week, taking the total to over 17 million since the start of the COVID–19 pandemic. The Unemployment rate in the U.S. could be as high as 13%, this according to some economists, including former Fed chairwomen Janet Yellen.

After hitting the highest price gold futures have traded to in the last seven years, $1742 per ounce, profit taking has taken gold prices below $1700. In trading overseas yesterday for a brief instant gold broke the former ceiling of $1703, creating a new high, which will now become short-term resistance at $1742.

Today market participants witnessed a rare event with the U.S. equities rallying approximately 7% on the day based upon diminishing fears of the coronavirus, as the safe haven class rose between 3.6% (gold) and 5.39% (Silver) based upon the fact that the coronavirus is about to reach its apex in the United States this week.

The long-awaited U.S. labor department’s jobs report was released today indicating that employment in the United States declined by 701,000 individuals last month. Along with payrolls declining by over 700,000 which was 600,000 above the estimate provided by economists which predicted 100,000 jobs would be lost last month, the jobless rate rose to 4.4%.

Recent action in gold indicates that there is solid price support at the recent low of $1576. On a technical basis, there are two major studies identified that confirm this assumption and market model. The combination of these studies together indicates a high probability that gold prices will move higher over the next few weeks.

Within the extreme carnage in the U.S. equities markets, both gold futures and spot pricing remained in an upswing. Although any rise within both of those precious metals were tepid at best and also affected by a stronger U.S. dollar that gained value since hitting it’s low on Friday. After the U.S.

While we have gold, prices come under substantial pressure over the last two weeks it had still managed to hold above key level of $1600 per ounce. This is in conjunction with U.S. equities markets trading under great pressure as they have lost value throughout this month.

With the exception of palladium, the rest of the precious metals complex traded lower on the day. While Palladium closed up by $2.60 (in essence unchanged), currently fixed at $2,199.40. Gold futures basis the April contract lost $7.10 (- 0.44%) in trading today and is fixed at $1617.90.

Today the Congress passed a $2 trillion stimulus bill, after the Senate approved the bill yesterday, and was signed today by President Trump. This bill was passed to help support the economy in the United States, as well as American workers by allocating approximately $2 trillion.