iOS 4.2 hasn't even been publicly released yet, but the gold master candidate has already been jailbroken using Redsn0w. In fact, using instructions posted on Covering Web, it's been possible to jailbreak iOS 4.2's gold master since the moment it was released. The jailbreaking steps are relatively straightforward, although they do require you to have retained a copy of the iOS 4.1 firmware in order for the procedure to work.
Of interest to those who don't want to jailbreak but are interested in getting hold of the iOS 4.2 gold master before its official release, Covering Web also has instructions and downl