Mizuho Securities said that as high yields attract investor demand, the sell-off of US bonds may slow down. “Expectations of the Federal Reserve's interest rate hike are increasingly reflected in the short end of the yield curve,” said Hidehiro Joke, a senior bond strategist at Mizuho Securities in Tokyo. “It seems unlikely that the 10-year yield will rise further to 5.25% or 5.5%, because holding income should be enough to offset a slight increase in financing costs,” and “inflation is expected to slow down as the impact of tariffs weakens.” I doubt that the Federal Reserve will maintain high interest rates without cutting interest rates, as currently expected by the market.”
Zhitongcaijing · 2d ago
Share
Listen to the news
Mizuho Securities said that as high yields attract investor demand, the sell-off of US bonds may slow down. “Expectations of the Federal Reserve's interest rate hike are increasingly reflected in the short end of the yield curve,” said Hidehiro Joke, a senior bond strategist at Mizuho Securities in Tokyo. “It seems unlikely that the 10-year yield will rise further to 5.25% or 5.5%, because holding income should be enough to offset a slight increase in financing costs,” and “inflation is expected to slow down as the impact of tariffs weakens.” I doubt that the Federal Reserve will maintain high interest rates without cutting interest rates, as currently expected by the market.”
Disclaimer:Webull uses external vendor Google Translation Service for news translations where we endeavour to ensure these are correct, however, we recommend that you please double-check this information accordingly. Webull is not responsible for translation errors or issues.
What's Trending