Meanwhile, elevated inflation and fiscal uncertainty kept pressure on long-term US yields, with the 10-year Treasury term premium around 75–80 basis points. Rising refinancing costs are also increasing Washington’s interest burden, while Treasury bond buybacks provide only temporary support without addressing deficits or debt.

Markets also faced renewed US-Iran tensions, pushing Brent above $90, while hawkish Fed expectations pressured gold and lifted USD/JPY toward 160. US consumer demand showed signs of fatigue, with July spending rising only 0.2% and real consumption remaining flat as households shifted toward necessities. Looking ahead, markets will focus on US employment and ISM data, Eurozone inflation, Chinese PMIs, and central-bank decisions in Canada and New Zealand.