[MARKET ANALYSIS] Treasury futures remained subdued after yields climbed alongside a surge in oil as geopolitics dominated the tape

USTs: -0.5 ticks Lingered near the prior day's trough after yields climbed alongside oil prices as geopolitics dominated the tape. Bunds: -44 ticks Remained pressured amid higher energy prices and recent hawkish-leaning ECB comments. JGBs: -21 ticks Tracked losses in global peers with US Treasury Secretary Bessent providing more opinions on Japanese policy in which he noted that they should stop the reflation now and that Abenomics has worked, but added that it is time for Takaichi-nomics and that Japan needs to shift. There were also comments from BoJ Governor Ueda, who noted that monetary conditions remain accommodative and that they would like to continue increasing rates, but refrained from commenting regarding the details of his recent discussion with Bessent, and on the market pricing of a strong chance of rate hike this month.