Silver Rebounds as US-Iran Tensions Trump Fed Hike Fears
Silver prices rebounded to $66.95 an ounce on September 8, 2026, after a strong jobs report and US-Iran tensions pushed the metal lower on Friday.
Friday's nonfarm payroll report showed August jobs growth at 162,000, nearly triple analyst expectations, driving the probability of a Federal Reserve rate hike at the September 15-16 FOMC meeting to roughly 60 percent. However, the US military strikes against Iranian military facilities on Larak Island in the Strait of Hormuz over the weekend and Iran's retaliatory strikes against American positions in Jordan and the UAE shifted market focus away from monetary policy.
The spot price climbed by more than $1 an ounce from Friday's close, with the gold-silver ratio falling to approximately 65.9, meaning one ounce of gold exchanges for 65.9 ounces of silver. This suggests that silver is outperforming gold, typically happening when both safe-haven demand and industrial risk premium are active simultaneously.
As the market continues to price in geopolitical risk and Federal Reserve rate trajectory, this week's US CPI data will be a significant test of whether Friday's jobs beat translates into sustained upward pressure on rate hike odds. A hotter-than-expected inflation reading could push the probability above 70 percent and give dollar bulls the ammunition to press silver lower.