Geopolitical tensions eased after a limited Iranian missile strike on a U.S. base in Qatar caused no casualties, and Iran avoided targeting the Strait of Hormuz, calming oil supply fears.

Fed Governor Bowman backed a possible July rate cut if inflation stays low, echoing dovish signals from Waller. The U.S. 10-year yield held near 4.35% as markets await Powell’s testimony, with 55 bps of cuts now priced in for 2025.

Japan’s 10-year yield rose above 1.42% for a second day as safe-haven demand fell. BOJ tightening expectations remain on the radar amid persistent inflation and wage growth.

Please take a look at the file below for a detailed market analysis.