Shipping through the Strait of Hormuz, a critical oil shipping chokepoint, slowed to a five-day average of 10 vessels, the lowest since May, even after U.S. President Donald Trump said the waterway was "open and operating" and said no talks with Iran were under way or scheduled after a temporary ceasefire expired. A cargo ship was attacked while leaving the strait via Omani territorial waters on the "southern route," leaving one crew member dead, while Brent crude stayed above $91 a barrel and U.S. West Texas Intermediate rose 0.52% to $85.38 in early Asia trading. Investors also drove U.S. Treasury yields to multi-decade highs as Middle East ceasefire hopes faded and the U.S. fiscal deficit reached $432.3 billion in July, lifting the year-to-date shortfall to nearly $1.8 trillion and debt-interest costs to about $1.2 trillion on a nearly $40 trillion national debt. Germany's 10-year bund yield hit a 15-year high, Japan's 10-year yield moved above the 30-year high seen earlier this year, and Trump's 50% tariffs on about $20 billion of Canadian imports were due at 12:01 a.m. ET Wednesday unless Washington and Ottawa reached a last-minute deal. Separately, analysts say Trump's 2026 National Defense Strategy, which dropped an explicit reference to extended deterrence (a pledge to defend allies, including with nuclear force) and pressed allies to spend more on defense, is pushing more governments to reconsider nuclear weapons, raising the risk of a proliferation cascade.