The yield on the US 10-year Treasury note has bounced back to approximately 4.37% after it had earlier fallen to a one-month low of 4.31% on Friday morning. This change comes as investors analyze the growing tensions in the Middle East. Israel has initiated a preemptive attack on Iranian nuclear sites, promising to continue its operations until the ongoing threat is effectively neutralized. US officials have clarified that the United States played no part in the attack. Concurrently, President Trump has urged Iran to "make a nuclear deal now before it is too late." In other news, a recent sale of $22 billion in 30-year Treasuries attracted stronger-than-anticipated demand, which has provided some stabilization to the bond market. This comes amidst ongoing trade uncertainties, a recent credit rating downgrade by Moody’s, and worries over increasing government expenditure and debt levels. Looking ahead, investors are now shifting their focus to next week’s Federal Reserve policy meeting. The Fed is anticipated to maintain the federal funds rate at its current level; however, softer-than-anticipated Consumer Price Index (CPI) and Producer Price Index (PPI) figures have strengthened expectations for two interest rate cuts in 2025.