Gold rebounds above $4,200 as markets weigh Fed hike risk, Iran progress

Spot gold and silver are trading higher in early U.S. Monday activity, while oil prices are lower on progress in U.S.-Iran negotiations that is easing energy-risk premiums. The metals move reflects a mix of softer geopolitical risk in energy markets and a hawkish Federal Reserve June signal, leaving the broader risk backdrop somewhat mixed for commodities.

Analysis

Spot gold and silver are trading higher in early U.S. Monday activity, while oil prices are lower on progress in U.S.-Iran negotiations that is easing energy-risk premiums. The metals move reflects a mix of softer geopolitical risk in energy markets and a hawkish Federal Reserve June signal, leaving the broader risk backdrop somewhat mixed for commodities.