ChainThink report, on Monday morning, Japanese government bond prices declined as yields rose again to multi-decade highs. Market concerns intensified over the escalating conflict in the Middle East, which is expected to drive inflation higher.

The 10-year bond yield climbed 6 basis points to 2.32%, approaching the historical peak of January 1999. The 5-year bond yield rose 5 basis points to 1.72%, just one step away from its all-time high since issuance. Movements in Japanese government bond yields followed those in U.S. Treasury yields, which have declined for several consecutive weeks and are now at their highest level in months.

Tensions in the Middle East show no signs of easing, as Trump issued a 48-hour ultimatum to Tehran demanding the opening of the Strait of Hormuz, threatening military strikes on Iran’s power plants if not complied with—this deadline expires Monday evening New York time.