Despite the US-China truce, we still think inflationary pressures will prompt the Fed to stay pat for a while yet. But we doubt the 10-year Treasury yield will rise much more from here, even though investors are still pricing in rate cuts. That’s because we expect the 10-year Treasury term premium to drop back a bit as trade tensions continue to ease.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.