UBS: Remain Bullish on 10-Year U.S. Treasury Bonds

According to a report by Jinshe Data, UBS rate strategists stated in their latest report that due to persistent economic growth risks, the bank continues to be bullish on 10-year U.S. Treasury bonds. "We believe the market underestimates the risk of an economic slowdown, and the relatively moderate U.S. CPI data for May and June will also support the performance of 10-year U.S. Treasury bonds." The strategists pointed out that although household inflation expectation indicators have risen, they have not yet translated into significant wage pressure. Additionally, they mentioned that if the U.S. Senate makes adjustments to the "Beautiful Act" proposed by the House, further reducing spending, it could also alleviate market concerns about the widening fiscal deficit. However, UBS also believes that in the coming months, the yield on 10-year U.S. Treasury bonds may find it difficult to fall below 4%.