Japan’s 10-year government bond yield eased to around 2.78% on Thursday, falling for a second consecutive session as lower oil prices following the partial reopening of the Strait of Hormuz reduced concerns over inflation and the outlook for interest rates. Iran and Oman reached an agreement to establish a shipping corridor through the strait, fueling expectations of stronger energy flows from the Middle East. Even so, Japanese bond yields continued to find support from growing expectations that the Bank of Japan will raise interest rates again. Last week, the BOJ kept its policy rate unchanged at 1%, though policymakers acknowledged upside inflation risks. Minutes from the July policy meeting also revealed that several board members expect consumer inflation to accelerate notably in the second half of the current fiscal year as companies press ahead with broad-based price increases across a wide range of goods.