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Trump's Iran Talks Spur Treasurys, Dollar Drop

Wall Street Journal Markets •
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10-year Treasury yield falls to 4.386% after Trump tweets about productive Iran talks, down from 4.437% pre-tweet. Dollar index slips slightly following the announcement. Market reaction shows initial strength but loses momentum. (Wall Street Journal)

Gilt yields reverse sharply, falling to 4.895% after Trump postpones attacks on Iranian power plants. Ten-year gilts had reached an 18-year high of 5.116% earlier Monday. Trade remains volatile as markets digest the news.

Yield movements reflect shifting risk appetite: lower yields signal reduced inflation expectations and dollar weakness. The initial market surge in Treasurys appears to be moderating as traders reassess the Iran situation. No major economic data is expected today to provide further clarity.