Gold and Silver Prices Slip as Dollar Strengthens Amid Stalled US-Iran Talks

Key Facts

1Spot gold and silver prices are weaker in early U.S. trading on Friday.

2A firmer U.S. dollar and elevated oil prices offset safe-haven demand for precious metals.

3Markets remain focused on the dragging U.S.-Iran talks and the situation in the Strait of Hormuz.

Amid persistent geopolitical uncertainty, spot gold and silver prices declined in early U.S. trading on Friday. A strengthening U.S. dollar combined with elevated oil prices acted as a headwind, dampening the appeal of precious metals despite their traditional safe-haven status. Markets remain closely focused on the protracted negotiations between the United States and Iran regarding the Strait of Hormuz, which continues to influence investor sentiment.

The retreat comes as the U.S. Dollar Index (DXY) showed resilience, gaining approximately 0.3% in recent sessions per market data, making greenback-denominated bullion more expensive for overseas holders. In comparison to other industrial metals, silver faced additional pressure following weak industrial production data from China, which reported a 4.1% year-on-year increase, significantly missing the 5.9% forecast (data from May 18, 2026).

Traders should watch for key support levels near $2,350 per ounce, as prices stabilized at these levels at the close of May 22, 2026. Looking ahead, the economic calendar features Canadian inflation data and the RBA meeting minutes on May 19, which will be critical catalysts for currency volatility and, by extension, the directional trend for gold and silver.