Precious Metals Rise as FX Tracks Hormuz (08.11.2026)

Global markets remained focused on shifting Middle East developments and monetary policy expectations, with reports of progress toward a Strait of Hormuz shipping agreement influencing sentiment. 

Gold and silver extended their rallies on strong institutional and physical demand, while the euro and sterling held near recent highs following weaker U.S. employment data. Meanwhile, the yen resumed its decline as the effects of recent intervention faded and traders awaited signs of further official action.

Euro Holds Near Key Averages

EUR/USD remains pressured near its 100-day moving average despite rebounding past the 50-day level. Strong technical indicators maintain a constructive outlook, where a decisive move above 1.1600 could pave the way toward 1.1700 and the 200-day average. Markets are weighing conflicting reports regarding the Strait of Hormuz. Iranian officials indicated a shipping agreement with Oman is approaching, though immediate reopening remains unlikely. Meanwhile, improving Eurozone growth expectations provide underlying currency support.

The first resistance is positioned at 1.1570 while the support starts from 1.1500.

Gold Reaches Two-Month High

Gold climbed past $4,400 per ounce on Tuesday, touching a two-month peak as demand for safe-haven assets grew despite persistent inflation and interest rate anxieties stemming from elevated crude prices. Chinese institutional buyers continued expanding positions to counter market volatility, driving ETF inflows to multi-month records. The People’s Bank of China accelerated its official accumulation, acquiring approximately 20 tons in July, its largest monthly increase since late 2023.

First resistance is seen at $4430, with initial support near $4440.

Yen Weakens Past 159

The Japanese yen dropped past 159 per dollar on Tuesday, erasing about half of its recent intervention-led recovery and testing official support limits. Tokyo and Washington previously executed a record joint yen-buying operation in late July after the currency touched 40-year lows, aiming to protect broader financial stability. However, the lack of follow-up measures from central authorities has left investors disappointed, reigniting downward momentum.

First resistance is seen at 160.00, with initial support near 158.60.

Sterling Consolidates Peak Levels

The British pound hovered near $1.349, remaining close to multi-week highs as investors digested conflicting updates on US-Iran talks and potential Strait of Hormuz developments. While Iranian officials signaled progress on a regional shipping framework, direct negotiations with Washington were dismissed. Also, disappointing US employment data curbed Federal Reserve rate hike expectations, providing support for Sterling. Domestically, the Bank of England held interest rates steady while highlighting disinflation progress. UK employment indicators showed stabilizing permanent hires, rising temporary vacancies, and strong initial salary growth.

From a technical view, resistance stands near 1.3530, with support around 1.3400.

Silver Hits Seven-Week Peak

Silver rose toward $65.5 per ounce on Tuesday, touching a seven-week high as robust investment flows elevated precious metals despite energy-driven inflation and interest rate concerns. The metal gained additional momentum from strong industrial consumption within solar and power grid sectors. Furthermore, Chinese silver ore imports surged 62.5% year-over-year in June, illustrating substantial physical demand.

From a technical view, resistance stands near $65.80, while support is located around $65.00.