5½% US Treasuries?

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The Wrecking Ball Still Ripping Into US Bonds

 

Investors face a ‘duration crisis’ not (yet) a ‘credit crisis’. US 10-year Treasury yield could test 5½% because term premia when analysed closely still look too low. Pressures on term premia and yields are growing because of the unfavourable coupon supply outlook. A whopping near-US$11 trillion of gross US Treasury issuance is due before end-2024.

 

 

See our latest published research, Global View - The Wrecking Ball Still Ripping Into US Bonds – 23rd October 2023

 

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