Dollar Steadies as Majors Ease (11.28.2025)

Dovish Fed signals, Kevin Hassett’s rise as a pro-cut Fed Chair candidate, and ongoing Russia-Ukraine tensions are supporting commodities and safe-haven demand, while Friday brings no major US data. 

EUR/USD softened after a multi-day rise as the Dollar stabilized, though rate-cut expectations continue to provide underlying support. The Yen held near weekly levels despite fiscal pressure and a large stimulus package, while gold and silver retreated from recent highs yet remain set for weekly gains. Sterling extended its rally as December cut bets firmed and UK fiscal sentiment improved.

EUR/USD Eases Toward 1.1590

EUR/USD slipped toward 1.1590 in Friday’s Asian session, easing after a three-day climb as the US Dollar stabilized. Dollar upside could remain contained, with markets pricing an 87% probability of a December Fed cut amid speculation that Kevin Hassett, viewed as supportive of lower rates, may be appointed Fed chair. However, the pair may find underlying support after ECB Minutes reflected confidence in existing policy settings and showed little urgency for additional easing.

Technically, 1.1470 is the key support, while resistance is seen at 1.1625.

Yen Flat Despite Fiscal Worries

The yen held near 156.3 per dollar on Friday, finishing the week broadly unchanged. Stronger industrial output, retail sales, and steady unemployment offered support, while Tokyo core inflation exceeded forecasts and raised expectations of a future BOJ rate hike, possibly within months. Even so, the currency is still set for a monthly loss of more than 1% amid fiscal concerns after the government approved a ¥21.3 trillion stimulus program financed by at least ¥11.5 trillion in new bond issuance.

Technically, resistance stands near 158.95, while support is firm at 155.20.

XAU/USD Slips Below $4,200

Gold slipped from a two-week high in Asia, unable to firmly hold above $4,200. Expectations for a December Fed rate cut continue to underpin the metal, supported further by technical strength above the $4,170 to $4,175 region. Even so, gains are being capped by a firmer US Dollar and improving risk appetite driven by lower-rate prospects and optimism around a potential Russia Ukraine peace agreement. Despite the pullback, XAU/USD remains on track for a solid weekly rise with room for further upside.

From a technical view, support is seen near $4100, while resistance is positioned around $4200.

Pound Climbs as Rate-Cut Bets Grow

GBP/USD rose to roughly 1.3240 in Asia, extending its winning streak to seven sessions as growing Fed rate-cut expectations weighed on the Dollar. Markets now assign an 87% probability to a 25 bps cut in December, with further easing likely if Kevin Hassett becomes Fed chair. Sterling also found support from renewed confidence in Chancellor Rachel Reeves’ budget. While initial OBR projections pointed to weaker growth, a stronger £22 billion fiscal buffer and improving public finances helped lift sentiment.

From a technical view, support stands near 1.3020, with resistance around 1.3260.

Silver Retreats From Multi-Week High

Silver pulled back from the $54.40 to $54.45 zone, its strongest level since October 17, and eased into the mid-$53 range in Friday’s Asian session. Even with the retreat, XAG/USD is still up around 0.20% intraday and remains poised for a firm weekly advance.

From a technical view, resistance stands near $54.00, while support is located around $51.00.