US Treasuries rebounded following Federal Reserve actions as Brent crude eased from four-year highs. The retreat in oil prices provided relief to markets concerned about energy-driven inflation, allowing government bonds to find support despite broader economic uncertainty.

Inflation fears continued to cap gains, keeping Treasury yields near their recent peaks even as the market digested the latest Fed communications. Traders balanced the positive impact of falling oil prices against persistent concerns about rising consumer prices and potential future monetary tightening.

The market reaction reflected a delicate balance between temporary relief from energy price declines and ongoing concerns about inflationary pressures that could prompt more aggressive central bank action. Investors remained cautious about the direction of monetary policy.