U.S. Treasury market volatility has eased notably over the past month as geopolitical tensions in the Middle East have cooled, says LPL Financial's Adam Turnquist in a note. "The extended cease-fire between the U.S. and Iran has reduced near-term escalation risks and allowed more time for diplomatic negotiations," the chief technical strategist says. With implied volatility now back near prewar levels, the Treasury market appears priced for a relatively benign geopolitical backdrop, leaving litt

U.S. Treasury market volatility has eased notably over the past month as geopolitical tensions in the Middle East have cooled, says LPL Financial's Adam Turnquist in a note. "The extended cease-fire between the U.S. and Iran has reduced near-term escalation risks and allowed more time for diplomatic negotiations," the chief technical strategist says. With implied volatility now back near prewar levels, the Treasury market appears priced for a relatively benign geopolitical backdrop, leaving little cushion if risks re-emerge, he says.