German 10-year bund yields, a benchmark for euro zone sovereign borrowing costs, moved lower on August 11, trading in the mid-3.1% range by 4:00 p.m. UK time, about 0.02 percentage points below the same time a day earlier. UK 10-year gilt yields also declined to the upper 4.9% range, likewise around 0.02 percentage points lower. The move followed a shift in energy markets after crude oil futures had surged on August 10 on Middle East tensions, then turned choppy as hopes for progress in talks over Strait of Hormuz transit supported demand for safe-haven assets such as German and UK government bonds. A spokesperson for Qatar's Foreign Ministry said discussions between Oman and Iran on Strait of Hormuz navigation were at an "advanced stage" and had drawn positive responses from both countries. That initially weighed on Brent crude, though the decline proved limited and bond buying stayed restrained as traders remained cautious that reopening the waterway could still take considerable time. Brent later reversed course and at one point rose more than 2% from the previous day to above $90 a barrel, underscoring volatile trading. Investors in European bonds largely adopted a wait-and-see stance ahead of July U.S. Consumer Price Index data due on August 12, with the inflation reading seen as important for the Federal Reserve's policy path and, by extension, global bond markets.