Silver (XAG/USD) rose 1.6% to $52.35 on 11/11/2026, defying higher US Treasury yields and a stronger dollar after hotter‑than‑expected CPI data.

Silver (XAG/USD) jumped 1.6% to about $52.35 on Friday, 11/11/2026, even as US Treasury yields climbed and the dollar strengthened. The move came after October CPI surprised on the upside, reviving bets that the Federal Reserve will tighten further.

Price action and technical backdrop

The metal broke through the $52 level and now sits near $52.31 on the one‑hour chart. It remains above the 200‑period simple moving average (SMA) at $51.52, while the 100‑period SMA at $52.37 caps the upside. The Relative Strength Index (RSI) is 45.93, just under the neutral 50 line, indicating that bullish momentum has softened after a brief surge toward $53.00.

Key resistance lies at the 100‑period SMA ($52.37) and then at $53.20 and $53.72, which marked the recent highs. Support is found at the 200‑period SMA ($51.52) and a horizontal floor near $51.10. A break below these zones could trigger a deeper correction, while staying above would keep the pair in a range.

Fundamental drivers: CPI, Fed expectations and the dollar

October US CPI increased 0.4% month‑on‑month, outpacing the 0.3% consensus, while core CPI rose 0.3% versus a 0.2% forecast. The data reinforced concerns that inflation remains sticky, prompting the CME FedWatch tool to price an 88% chance of a 25‑basis‑point hike in December and a 12% chance of a larger 50‑bp move.

Fed Governor Christopher Waller previously warned that a 50‑bp increase could be needed if core inflation hit 0.3% or higher – a threshold now met. The surprise pushed the 10‑year Treasury yield briefly above 5%, adding pressure on non‑yielding assets such as silver.

Read also: GBP/USD steadies above 1.3250 as traders await UK GDP data

Market sentiment and broader context

The US Dollar Index (DXY) rose 0.68% on the same day, extending a two‑day rally. Typically a stronger dollar and higher yields weigh on precious metals, yet silver’s advance suggests resilient buying, possibly driven by investors seeking a hedge against inflation while still betting on a modest rally in the metal.

Analysts at Deutsche Bank note that core inflation has risen for three straight months, reaching a three‑month annualized rate of 3.75% – the fastest since April 2024. Commerzbank adds that underlying inflation is unlikely to ease until 2027, given robust economic activity and Middle‑East geopolitical tensions.

What to watch next

Traders should monitor upcoming US producer‑price data and any further Fed commentary, as both could shift expectations for the December meeting. On the technical side, a sustained close above $52.37 would open the path to $53.20, while a break below $51.52 could see the metal test $51.10.

• Next Fed meeting: December 2026 (likely 25‑bp hike)
• Key technical levels: $52.37 (resistance), $51.52 (support)
• US CPI release: October data showed 0.4% MoM rise

Frequently asked questions

Official data sources

• Federal Reserve (Fed)
• LBMA precious metal prices

Related news

• GBP/USD steadies above 1.3250 as traders await UK GDP data
• Gold falls below $4,000 as Fed rate‑hike bets rise
• Market overview: Fed rate‑hike bets push gold below $4,000 and widen AUD‑USD gap
• Pound at three‑week low ahead of UK GDP data

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This article is compiled from international market news for information only. It is not investment advice.