Oil futures fall after Israel assured the U.S. it would target Iranian military rather than oil or nuclear facilities in response to Iran's Oct. 1 missile attack. Following the news, "crude oil squeezed another 5% of geopolitical risk out of the market,

(Bloomberg) -- Treasuries rallied the most in two weeks as tumbling oil prices eased concerns about an uptick in inflation. Yields on US 10-year debt retreated from a two-and-a-half month high, falling as much as four basis points to 4.06%. Meanwhile, rates on German and UK peers dropped as much as six basis points.