Negotiations Replace Panic (05.29.2026)

Signs of diplomatic progress between Washington and Tehran reduced immediate concerns about energy supply disruptions and inflation pressures.

Reports of a tentative 60-day framework agreement helped improve sentiment across currencies and precious metals, while easing pressure on oil-linked inflation expectations.

Central-bank policies remained a key theme. ECB meeting minutes revealed that policymakers were more divided than previously thought, reinforcing expectations that further tightening remains possible if price pressures persist. Precious metals stabilized after recent weakness, while sterling benefited from softer oil prices and a calmer market environment.

Euro Buyers Return to the Market

The euro edged higher toward $1.164, attempting to recover from a six-week low after the ECB expectations shifted. Reports suggesting that US and Iranian negotiators reached a tentative 60-day framework agreement to extend the ceasefire and begin nuclear discussions helped improve market sentiment, although final approval from President Trump is still pending.

The latest ECB meeting minutes showed that several policymakers considered the April rate hold a close decision, with some members indicating they would have supported a rate hike. The comments reinforced expectations that the ECB could still tighten policy further if inflation risks remain high.

For EUR/USD, the initial resistance is seen at 1.1670, while the closest support is positioned at 1.1540.

Selling Pressure for Gold Eases

Gold steadied near $4,500 after recovering in the previous session, as reports of a preliminary US–Iran agreement helped ease concerns over inflation and future interest rate hikes.

Washington and Tehran may extend the ceasefire for 60 days and begin negotiations over Iran’s nuclear program, while discussions around reopening shipping routes through the Strait of Hormuz are also ongoing.

First resistance is seen at $4510, with initial support near $4340.

Yen Holds Firm with Intervention Warnings

The Japanese yen remained stable near 159.3 per dollar after Finance Minister Satsuki Katayama warned that authorities are prepared to intervene if excessive volatility or speculative trading intensifies in currency markets.

Official data expected in the coming days may shed light on whether Tokyo intervened heavily in the currency market in late April, with estimates suggesting spending of almost 10 trillion yen.

Initial resistance stands at 159.90, while the first support is located at 158.20.

A Better Session for the Pound

The pound recovered from earlier losses and traded slightly above $1.34 as Middle East diplomacy and changing expectations for UK interest rates are back in focus.

From a technical view, resistance stands near 1.3450, with support around 1.3360.

Silver’s Recovery Attempt Continues

Silver steadied near $76 an ounce after rebounding in the previous session, as reports of a preliminary US–Iran agreement eased concerns over inflation and future interest rate hikes.

From a technical view, resistance stands near $75.70 while support is located around $71.