Strategist: Fiscal policy may trigger a significant repricing of U.S. Treasuries

ChainCatcher news, according to Jinshi reports, SEB Research's Chief Rate Strategist Jussi Hiljanen stated in a report that U.S. long-term Treasury yields may rise further, partly due to a decline in market confidence in U.S. policy.

Jussi Hiljanen emphasized, "Trust in U.S. policy is eroding, and considering the costs of foreign exchange hedging, the lack of attractiveness in valuations, and investors turning to European bonds, all indicate that long-term U.S. yields face structural upward pressure. It is expected that long-term Treasury yields will rise moderately, but fiscal policy may trigger a significant repricing of U.S. Treasuries."