Silver price outlook: can US-Iran diplomacy spark the next move?

Silver traded near $75.60 an ounce in Asian hours on Monday as investors weighed Middle East tensions, US-Iran diplomacy and the outlook for Federal Reserve interest rates ahead of key labour-market data later this week.

The metal was little changed after recent volatility, with traders reluctant to take large positions while geopolitical risks remain fluid.

Precious metals have been whipsawed by competing forces: demand for havens has risen during periods of conflict, while a stronger dollar and higher energy prices have revived concerns that inflation may remain sticky.

That has left silver in a narrower range, even as oil markets remain sensitive to any threat to regional supply routes.

The Strait of Hormuz remains central to the market debate because any disruption there could quickly feed into energy prices and inflation expectations.