Barclays suggests that investors prepare for rising US Treasury yields.

The Barclays team has raised the target yields for U.S. Treasuries of various maturities by approximately 35 basis points, which is in line with the adjustments estimated by the bank’s economists. Barclays economists previously predicted the Federal Reserve would cut interest rates in 2027, but now believe the Fed's policy will remain unchanged. In addition, Barclays strategists Anshul Pradhan and Demi Hu wrote late last week that under Chairman Kevin Warsh, the Federal Reserve’s abandonment of forward guidance means that “the risk premium generated through the uncertainty channel should increase.”