U.S. Treasures resumed a sell-off on Wednesday as a rebound in oil prices
heightened market concern about reaccelerating inf and the prospect of further
Fed tightening. The sell-off spread to Europe: UK 30-year gilt yields climbed
back to 6%, French 30-year bond yields rose as much as 14bps, and the U.S.
30-year Treasury yield reached 5.72%. Mizuho International multi-asset
strategist Evelyne Gomez-Liechti said: “We still think markets are caught
between two forces: on one hand, absolute bond yields are already quite
attractive; on the other, the logic behind rising oil prices has not gone away.”
