Treasuries Face Several Risks, Not Least From Stubborn Inflation

Authored by Simon White, Bloomberg macro strategist,

Longer-term yields will be unable to go down significantly, absent a recession, while inflation remains stubborn and ongoing fiscal risks deter Treasury buyers.

May CPI is released later, but that comes as another piece of news today – on Hong Kong’s pension fund managers plan to sell Treasuries if the US loses its AAA rating altogether