JPMorgan: The sharp rise in US Treasury yields this month may be nearing its peak
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Golden Ten Data reported on May 18 that the sharp rise in US Treasury yields this month may be nearing its peak. JPMorgan analysts stated: "We no longer believe the risk is tilted toward higher yields." They added: "Policy outcomes priced by money markets are more hawkish than our base case, and valuations have already seen a correction." According to CME data, the market mostly expects the Federal Reserve to keep rates unchanged, but the possibility of a rate hike is also increasing. Long-term bonds appear to be undervalued. JPMorgan stated: "We believe this bearish repricing provides an opportunity to increase duration."
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