Dollar and Metals Gain on Tariffs, Euro and Yen Weaken (07.11.2025)

EUR/USD Slides on Rising U.S. Tariff Pressures

EUR/USD declined by 0.3% to 1.1668 on Friday as the U.S. dollar gained after President Trump announced a 35% tariff on Canadian imports and signaled potential tariffs on the EU. Rising trade tensions increased safe-haven demand for the dollar, while stronger U.S. jobless claims data added support. Meanwhile, the euro slipped as investors grew cautious over the eurozone’s vulnerability to U.S. tariffs and possible countermeasures.

Resistance for the pair is at 1.1750, while support is at 1.1685.

Dollar Strength and Tariffs Pressure Yen

The yen weakened toward 147 per dollar on Friday, and neared a three-week low as the U.S. dollar strengthened amid rising trade tensions. President Trump’s new tariffs, including a 25% duty on Japanese goods, added strain to U.S.-Japan relations. Prime Minister Ishiba urged reducing dependence on the U.S., while a think tank warned the tariffs could lower Japan’s GDP by 0.8% in 2025.

Resistance is at 147.00, with major support at 144.85.

Gold Rises on Trade Tensions and Fed Speculation

Gold climbed to around $3,330 per ounce on Friday, marking a third day of gains as safe-haven demand increased amid rising trade tensions. President Trump announced a 35% tariff on Canadian imports and hinted at broader 15–20% tariffs on other partners, adding to earlier threats on Brazil and sectors like copper and semiconductors. His call for a 300 bps rate cut fueled speculation about a dovish Fed pick and inflation risks. Meanwhile, jobless claims fell again, highlighting labor market strength. Despite recent gains, gold is on track to end the week flat.

Resistance is at $3,365, while support holds at $3,285.

GBP Slips as Dollar Gains on Tariff Fears

GBP/USD is trading around 1.355, down 0.15%, as risk sentiment softens following Trump’s tariff threats on Canada and the EU, which lifted the dollar. The pound remains under pressure ahead of the UK GDP release, which may offer brief support if the data exceeds expectations. However, persistent trade tensions and solid U.S. economic signals are likely to keep the dollar strong, limiting any significant recovery in sterling.

Resistance is at 1.3600, while support holds at 1.3500.

Silver Tops $37 on Fed Cut Hopes

Silver climbed above $37 per ounce on Friday, supported by a weaker U.S. dollar and falling Treasury yields, which lifted demand for precious metals. The gains followed Fed minutes showing most policymakers are open to rate cuts this year. Markets also focused on trade tensions after Trump announced new tariffs on 21 countries, confirmed a 50% tariff on Brazilian imports, and imposed a 50% tariff on copper.

Resistance is at 37.50, while support holds at 35.40.