Treasuries Climb as Oil Prices Drop on Iran Peace Deal Optimism

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the worldAmericas+1 212 318 2000EMEA+44 20 7330 7500Asia Pacific+65 6212 1000Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the worldAmericas+1 212 318 2000EMEA+44 20 7330 7500Asia Pacific+65 6212 1000Treasuries advanced and oil prices retreated, fueled by optimism that progress is being made toward a US-Iran peace deal.US 10-year yields were two basis points lower at 4.28%, while German and UK peers fell as much as five basis points. Money markets boosted bets on a Federal Reserve interest-rate cut this year, seeing a 40% chance compared to less than 10% early on Monday, according to swaps tied to policy-meeting dates. Before the start of the war, swaps had implied two full quarter-point reductions.