[MARKET ANALYSIS] Treasuries are subdued amid recent pressure from rate hike bets and upside in oil

USTs: -2.5 ticks Continued to trickle lower amid upside in long-end yields as money market pricing is leaning towards a September Fed rate hike, and with Treasuries also facing headwinds from higher oil prices. Bunds: -24 ticks Extended on declines with Bund futures testing 123.00 to the downside and are at their lowest level in 15 years, while participants await supply and looming data. JGBs: -39 ticks Followed suit to the recent declines in global peers as the Japanese 10yr yield approaches the 3.00% level, with markets gearing up for a potential BoJ rate hike this month, while prices are also not helped by an incoming 10yr auction and with US Treasury Secretary Bessent telling Japanese officials that rate hikes are needed.