After surging, US Treasury bonds slightly pulled back; crude oil dropped another $4.5 to $80.31, and S&P futures soared 90 points.

(1) After a sharp overnight rise, U.S. Treasury bonds retraced slightly and the yield curve steepened modestly, as the memorandum of understanding between the U.S. and Iran is set to be signed this Friday. Oil prices declined further, with crude oil dropping about $4.50 to $80.31, marking the lowest level since the flash crash to $74.48 on April 17. (2) Trading volumes were solid, with 385,000 lots of 10-year Treasury futures traded as of 18:14 (UTC+8). However, traders reported very little buying interest on their trading desks. One trader remarked that they hardly saw any buy orders, but found better opportunities to sell. The market remained unusually calm given such a significant repricing. (3) S&P 500 futures rose by 90 points or 1.2%, Nasdaq futures were up 2.0%, the Nikkei index in overseas markets soared 5%, the CSI 300 index increased by 2.4%, and the Euro Stoxx 50 index was up 0.7%. (4) The U.S. dollar index fell to 99.50, EUR/USD rose to 1.11610, GBP/USD climbed to 1.3430, the Japanese yen strengthened slightly to 160.11, and gold rebounded strongly by nearly 3% to $4,337.53.