U.S. Vice President Vance said Iran will receive no funds unless it fulfills its obligations; the monies under discussion are effectively sanctions relief.

Spot and futures gold rose more than 2% after a tentative US-Iran agreement to end hostilities and reopen the Strait of Hormuz; oil fell and markets pared some concerns about upward pressure on interest rates. XTB analyst Kathleen Brooks said, "The peace deal puts downward pressure on oil, easing inflation fears — its timing is notable as a busy week of central bank meetings begins." Traders will watch Fed Chair KEVIN WARSH at Wednesday's FOMC meeting for clues on the policy path, as the chance of rate hikes later this year may have diminished.

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