Fed accepted $125 mln from one counterparty in its fixed-rate reverse repo operation.

Federated Hermes strategist Filippo Alloatti said in a report that UK government bonds could remain under pressure amid the Middle East conflict and concerns over public finances. Markets are focused on the new government's spending commitments and revenue measures expected in the coming weeks to months; Alloatti said markets remain sensitive to signs that spending pledges may outstrip available resources.

U.S. forces struck a residential area in Bandar Abbas, Iran, killing one and wounding eight. The same night U.S. forces also attacked a bridge at Bandar Khamir in southern Hormozgan province. Reports say the driver of a private car was killed in the attack.