The US 30-year Treasury yield fell to 4.85% on Wednesday, its lowest level since April 15, after President Donald Trump signaled easing tensions with Iran over Strait of Hormuz shipping.
Bond prices rose as the update pushed oil lower, easing near-term inflation fears and lifting demand for long-dated government debt
Oil Slump Drove the 30-Year Treasury Yield Lower In a Truth Social post, Trump said Iran confirmed no tolls or charges on ships crossing the Strait of Hormuz. He warned that negotiations would end at once if the claim proved false. The signal eased fears over the waterway that carries about a fifth of the world’s oil.
Falling oil prices followed soon after. West Texas Intermediate (WTI) almost below $70 a barrel for the first time since March 2. Brent crude briefly fell toward $74, its lowest since before the conflict began in late February.