China’s 10-year government bond yield hovered around 1.835%, trading in a narrow range as investors tracked evolving geopolitical and trade risks. Oil prices remained volatile after Iran stepped up attacks on energy infrastructure in the Persian Gulf, though optimism over a possible reopening of the Strait of Hormuz lent some support to market sentiment.
US Treasury Secretary Scott Bessent said Washington is allowing Iran to continue shipping crude through the strait, while Donald Trump is seeking broader international backing to safeguard commercial traffic. On the trade front, Trump asked Xi Jinping to postpone their summit by about a month so he could focus on the Iran crisis. Bessent added that any delay would reflect scheduling issues rather than an attempt to pressure China over the critical shipping corridor.
Meanwhile, China’s January–February activity data underscored the economy’s resilience despite intensifying geopolitical tensions, with industrial production, retail sales, and fixed-asset investment all recording gains.
