US Treasuries were trimming overnight gains, with modest weakness in longer dated debt as investors awaited a Thursday auction of 30-year securities that will offer a fresh test of demand for the beleaguered securities.

Wall Street was set for a higher open on Tuesday, though a renewed rise in Treasury yields damped the sentiment boost offered earlier by the prospect of gradually imposed US trade tariffs.

Just as bond traders grow more assured that inflation is finally under control, a camp of investors is quietly building up protection against the risk of a future spike in prices.

Idanna Appio spent 15 years at the Federal Reserve Bank of New York analysing the history of sovereign debt crises. Now, as a fund manager at the $138 billion First Eagle Investments, she’s reached a conclusion: US Treasury bonds are too risky to hold.

Surging oil prices are set to power the next leg of the dollar rally, as the US economy benefits from its rise as an energy exporter.

Billions of dollars are accumulating in Moscow beyond the reach of its foreign owners.

For all the fretting about the political standoff over the US debt ceiling, one fund manager sees the deadlock providing a boost to the stock market.