President Donald Trump’s handling of the Iran conflict is increasingly being shaped by a force that policymakers in Washington cannot easily control: the bond market. Rising U.S. Treasury yields and surging oil prices have emerged as fresh economic risks for the White House, raising concerns over inflation, consumer borrowing costs, and the political implications ahead of the November midterm elections, according to Reuters.
Market anxiety intensified over the past week as Treasury yields climbed sharply, reflecting investor worries about persistent inflation and the prolonged impact of the ongoing U.S.-Israeli conflict involving Iran. Reuters reported that White House officials are particularly concerned about gasoline prices, which could quickly feed into broader inflation pressures and hurt household affordability.
