U.S. and European Treasuries Rise Across the Board on Speculation Iran Conflict May End Soon

U.S. Treasuries rose as markets speculated that the Iran conflict might end soon, potentially paving the way for the Federal Reserve to resume interest rate cuts. 2-year and 10-Year Treasury yields at one point fell by 6 basis points to 3.73% and 4.26%, respectively. The Bloomberg Dollar Index at one point fell by 0.4%. European government bond yields also fell sharply, as yields on UK, French, and Italian government bonds dropped by 10 basis points or more, with markets reducing bets on interest rate hikes this year. The German 10-Year Treasury Yield fell by 6 basis points to 2.94%, its lowest level since March 18.