(RTTNews) - Treasuries moved to the downside during trading on Tuesday, extending the downward trend seen over the past several sessions.
Bond prices came under pressure early in the session and remained firmly negative throughout the day. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, advanced 4.4 basis points to 4.667 percent.
With the continued increase, the ten-year yield reached its highest closing level since early January of 2025.
Concerns about elevated crude oil prices leading to a sustained acceleration in the pace of inflation continued to weigh on treasuries.
U.S. crude oil futures have given back some ground on the day but remain well above $100 a barrel amid the ongoing conflict in the Middle East.
While President Donald Trump claimed he called off an attack on Iran today at the request of Gulf leaders, traders remain worried about a re-escalation of the conflict.
The high price of crude oil has led to speculation the Federal Reserve could actually raise interest rates in the coming months to combat inflation.
CME Group's FedWatch Tool is currently indicating a 41.9 percent chance rates will be a quarter point higher following the Fed's last monetary policy meeting of the year.
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