U.S. Treasury Yields Continue to Rise, Safe-Haven Buying Brief

Odaily News U.S. Treasury yields edged higher during Asian trading hours, extending Monday's trend. The market continues to focus on the potential inflationary impact of the Middle East conflict pushing up oil prices. On Monday, U.S. Treasury yields surged significantly, reversing the earlier brief safe-haven buying. ING interest rate strategists Padhraic Garvey and Michiel Tukker stated in a report: "Frankly, we are surprised that the safe-haven flow into bonds was so short-lived." They noted that, considering the broader Middle East situation, further escalation would undoubtedly reignite safe-haven demand, "but the subsequent reaction after the initial shock has been quite significant." (Jin10)