U.S. President Donald Trump gestures as he speaks to the media before boarding Air Force One at Joint Base Andrews in Maryland, U.S., en route to Myrtle Beach, South Carolina on Aug. 21, 2026.

As the U.S. goes after friends and foes alike, focus is also on Treasury yields that have resumed their upward path after a brief hiatus.

President Donald Trump has accused Canada of wanting the benefits of a U.S. state, as the two countries failed to reach a trade deal. Treasury Secretary Scott Bessent, meanwhile, is threatening the "single greatest financial offensive ever marshalled" against Iran.

Hello, this is Hui Jie writing to you from Singapore. Welcome to another edition of CNBC's Daily Open.

The relationship between the U.S. and Canada took a turn for the worse over the weekend.

The U.S. on Saturday levied 50% tariffs on some Canadian goods, after trade talks between the neighboring countries collapsed, with both governments blaming the other for not reaching a deal.

Canadian Prime Minister Mark Carney said Ottawa would respond dollar for dollar, with retaliatory duties on U.S. goods taking effect Sept. 8, prompting Trump to accuse Canada of seeking advantages of an American state. "Canada wants the benefits of being a State, without being one."

Washington is also using access to the American economy as leverage against Iran.

Treasury Secretary Scott Bessent is expected to announce a sweeping package of sanctions against Iran Monday, describing the measures as "the single greatest financial offensive ever marshalled against an adversary."

Last week, Bessent told CNBC that the Trump administration's plan to crush Iran's economy will likely negate the need for major U.S. military operations against the country.

The Trump administration has demanded that U.S. allies and the rest of the world stop doing business with Iran, with Bessent adding "we are going to them and saying you are either with us or against us."

Iran, on its part, has slammed the moves, with its foreign ministry spokesperson Esmaeil Baqaei describing the measures as an assertion of "extraterritorial sovereignty" over other members of the United Nations.

As Bessent prepares to exert pressure abroad, the bond market continues to apply pressure at home.