The US is preparing to block the Strait of Hormuz, the tension in the Middle East has escalated, and the yield on Japan's 10-year treasury bonds has climbed to the highest level since 1997. The benchmark interest rate rose 5.5 basis points to 2.49% in Tokyo on Monday. The 10-year treasury bond futures price once fell 55 points to 129.27. The weekend negotiations between Washington and Tehran failed to reach an agreement to end the conflict, casting a shadow over the hope that last week's fragile cease-fire agreement will continue. Another escalation of tension has boosted oil prices and increased inflationary pressure on Japan, which is heavily dependent on energy imports from the Middle East. Continued weakness in the yen is driving up import costs and increasing the risk of inflation. The exchange rate of the yen against the US dollar is once again approaching the 160 yen mark, prompting Japanese officials to issue stronger verbal warnings. Japan's Finance Minister Katayama Satsuki said that considering the impact of exchange rate fluctuations on households and the economy, the authorities are ready to take action on all aspects of the market.

The US is preparing to block the Strait of Hormuz, the tension in the Middle East has escalated, and the yield on Japan's 10-year treasury bonds has climbed to the highest level since 1997. The benchmark interest rate rose 5.5 basis points to 2.49% in Tokyo on Monday. The 10-year treasury bond futures price once fell 55 points to 129.27. The weekend negotiations between Washington and Tehran failed to reach an agreement to end the conflict, casting a shadow over the hope that last week's fragile cease-fire agreement will continue. Another escalation of tension has boosted oil prices and increased inflationary pressure on Japan, which is heavily dependent on energy imports from the Middle East. Continued weakness in the yen is driving up import costs and increasing the risk of inflation. The exchange rate of the yen against the US dollar is once again approaching the 160 yen mark, prompting Japanese officials to issue stronger verbal warnings. Japan's Finance Minister Katayama Satsuki said that considering the impact of exchange rate fluctuations on households and the economy, the authorities are ready to take action on all aspects of the market.