Global Bond Market Sell-off Intensifies, Driving Yields Higher and Oil Prices Up Amid US-Iran Tensions

Global bond markets are experiencing an intensified sell-off, pushing yields higher across major economies, including the US 10-year Treasury yield reaching approximately 4.80% and Japan's 10-year government bond yield hitting its highest level since 1996 at around 3.02%. This market reaction is attributed to investors reassessing inflation risks, evolving monetary policy expectations, and the increasing supply of government debt. Concurrently, Brent crude oil prices have surged, trading around $95.56 to $97 per barrel, following renewed US airstrikes on Iran and concerns over energy supplies from the Strait of Hormuz. Asian stock markets have tumbled in response to the global bond rout and rising oil prices.