Two-year yields dip as Hormuz flows rise, hopes on inflation grow

Treasury yields dipped Friday as falling oil prices, linked to increased Strait of Hormuz shipments, sparked hopes of easing inflation. While the Federal Reserve remains watchful of price pressures, traders are assessing the likelihood of future rate hikes. Despite some hawkish signals from policymakers, the prevailing sentiment suggests a pause in rate increases, with economists largely expecting rates to hold steady this year.