Japanese investors net sold 4.67 trillion yen, or $29.6 billion, of U.S. Treasury, agency, and municipal bonds in the quarter ended March 31. Japan's balance of payments data showed this was the largest quarterly net sale since the second quarter of 2022. In February, overnight index swap pricing moved from two expected Fed rate cuts this year to a rate hike bet after crude oil rose about 50% amid U.S.-Israel-Iran tensions.