Silver prices rebound as diplomatic progress between Washington and Tehran boosts investor sentiment, though Fed hawkishness limits gains.
Silver (XAG/USD) rose 1.69% to $65.90 on Monday, ending a three-day decline. The move follows renewed optimism over diplomatic progress between the US and Iran, which has drawn investor interest back to the precious metal.
Prior to the gain, silver had fallen for three consecutive sessions, pressured by expectations of prolonged Federal Reserve hawkishness. Markets remain cautious as Fed policy continues to cap upside potential for non-yielding assets.
The metal’s rally reflects a shift in sentiment, though broader macroeconomic factors, including interest rate expectations, remain a key overhang.