Gold and silver prices weremodestly lower in early-afternoon U.S. trading Monday, on some mild profit-takingpressure from the shorter-term futures traders and on normal downsidecorrections amid their uptrends. A firmer U.S. dollar index and upbeattrader and investor attitudes to start the trading week also worked against theprecious metals markets. However, the gold and silver bulls still have the firmoverall near-term technical advantage, which means the path of least resistancefor prices remains sideways to higher. April gold futures were last down $2.90an ounce at $1,319.30. March Comex silver was last down $0.046 at $15.88 anounce.

As China rings in the Year of the Pig, gold demandwill temporarily stall as markets remain closed for the celebrations,but prices are expected to pick up in the second week of February, according tosome analysts. Even though gold is a popular gift item during the Chinese NewYear celebrations, most of the shopping has been done ahead of this week, withmost Asian markets scheduled to remain closed for the holiday week.

European and Asian stock markets were mixed inquieter dealings Monday. Chinese markets are closed this week for the Lunar NewYear holiday, which could make for quieter trading in world markets this week.U.S. stock indexes are firmer in midday trading. Traders and investors arein generally upbeat moods early this week, following a strong U.S. jobs reportreleased last Friday, and on ideas the U.S. and China are moving closer toa trade deal as the early-March deadline for an agreement approaches. U.S. andChinese officials are set to meet again in China in mid-February, after meetinglast week in Washington, D.C.

The other outside market today sees Nymex crudeoil prices lower and trading around $54.50 a barrel. That’s also a bitnegative for the precious metals markets today.