Risk aversion outweighs inflation concerns, causing US Treasury yields to fall.

Despite rising oil prices, US Treasury yields fell during Asian trading hours as bond investors gradually shifted their focus from inflation fears stemming from the Middle East wars to growth risks. Elmar Voelker, senior fixed-income analyst at Baden- Odaily Bank, stated in a report that the disruptions and damage to the energy sector so far are likely to have lasting effects and could ripple through other sectors of the economy. The bank projects that economies on both sides of the Atlantic will suffer a growth loss of approximately 0.25 percentage points this year compared to the previous lead scenario. Tradeweb data shows that the two-year US Treasury yield fell 3.9 basis points to 3.875%, and the ten-year US Treasury yield fell 5.2 basis points to 4.387%. (Jinshi)