Lower oil prices and expectations of reduced pressure on interest rates lifted bond markets, though fresh strikes near the Strait of Hormuz underscored the fragility of the ceasefire.

Bullion prices climbed as signs of progress in US-Iran talks raised hopes of reopening the Strait of Hormuz and easing pressure on energy markets.

US Treasury yields fell sharply after Trump signaled progress in Iran negotiations. The 10-year yield dropped 10 bps to 4.57%, with Bitcoin also rallying.