Gold (XAUUSD) & Silver Price Forecast: Dollar Rebound Limits Fed-Driven Rally

Overview

Gold and silver eased as the US dollar rebounded, with traders awaiting Fed speeches for clarity on December rate cut expectations. Prices edged lower in early European trading as investors balanced dovish Federal Reserve expectations against a firmer dollar and improved risk sentiment.

Key Drivers

The pullback followed a brief rally earlier in the week when soft economic data reinforced bets on a potential Fed rate cut in December.
Gold benefited initially from signs of a slowing US economy.
Weak October labor data showed a fragile employment landscape, with private firms cutting 9,100 jobs and government payrolls shrinking by 22,200, according to Revelio Labs.
The Chicago Federal Reserve reported a marginal rise in unemployment, hinting that labor market resilience post-pandemic is fading.
“Traders are increasingly positioning for a rate cut before year-end,” said a market strategist at a London-based brokerage. “Any dovish shift from the Fed tends to reduce the opportunity cost of holding non-yielding assets like gold.”

Silver’s Trajectory

Silver mirrored gold’s cautious tone, slipping modestly as investors sought clarity on monetary policy. Despite its industrial use, silver’s dual role as both a safe-haven and growth-linked asset makes it sensitive to shifts in rate expectations.

Momentum

The precious metals rally lost traction after the US dollar rebounded from a two-week low.

Author’s Summary

Рынок золота и серебра остается под влиянием настроений по ставкам ФРС и динамики доллара: ожидания снижения ставок поддерживают ценность металлов, но рост доллара и данные по рынку труда могут их ограничивать.

FX Empire — 2025-11-12

Overview

Key Drivers

Silver’s Trajectory

Momentum

Author’s Summary

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