South Korea's Government Bond Yields Rise to 3.868% on July 14 Amid U.S.-Iran Tensions

On July 14, South Korea's government bond yields climbed, according to Seoul bond market data, with 3-year benchmark rates rising to 3.868%, up 5.8 basis points from the previous close. The 10-year yield increased 4.6bp to 4.313%, and the 30-year yield rose 3.8bp to 4.483%.

The advance followed escalating U.S.-Iran tensions and a U.S. military blockade of Iranian waters, which sent crude oil prices surging. West Texas Intermediate (WTI) crude for August delivery jumped 9.42% overnight to $78.14 per barrel. U.S. Treasury yields also climbed after hawkish remarks from Federal Reserve official Christopher Waller regarding potential near-term tightening if core inflation readings came in elevated.