US Treasury yields are "screaming good value" says PIMCO senior advisor

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1. 1h ago

   PIMCO Declares US Treasury Yields Are Screaming Good Value

   PIMCO senior advisor Rupert Harrison stated that United States Treasury yields represent screaming good value after a recent surge pushed long-dated borrowing costs to their highest levels in twenty-four years. The global bond sell-off stems from persistent inflation worries and high fiscal deficits, triggering a wide market reaction. While equity indices such as the S&P 500 and Nasdaq have touched record highs despite the surging yields and a collection of shocks including falling oil prices and war concerns, market analysts remain divided over whether stock investors are ignoring a severe bond market warning at their peril.

   Why it matters

   The sharp climb in long-end yields mirrors historical parallels from the dotcom era, dividing Wall Street observers who question how long equities can defy rising borrowing costs. PIMCO has responded to the twenty-four-year highs by building exposure to duration, signalling confidence even as traders reload bets on ever-higher bond yields. Meanwhile, market participants closely monitor upcoming Federal Reserve minutes and a critical ten-year Treasury auction to gauge the next phase of monetary policy.

   What is confirmed

   • Rupert Harrison, senior advisor for portfolio management at PIMCO, stated that U.S. Treasury yields are screaming good value after a recent surge.
   • Ten- and 30-year Treasury yields hit fresh 24-year highs driven by inflation worries and high fiscal deficits.
   • The S&P 500 and Nasdaq touched record highs as Treasury yields retreated from multi-year peaks and oil prices fell.

   What to watch next

   • Results of the upcoming 10-year Treasury auction
   • Release of the Federal Open Market Committee minutes
   • Further market reaction to ongoing fiscal deficit and inflation data
   Sources used for this update (22)

   1. CNBC — Treasury yields rise to start the week; traders look ahead to Fed minutes
   2. Reuters — What will Washington do next if US bond yields keep rising?
   3. Bloomberg.com — Treasuries Slump Pushes Long-End Yields to Fresh 24-Year Highs
   4. Yahoo Finance — Global bond sell-off spreads as yields rise amid 'collection of shocks'
   5. economictimes.indiatimes.com — Dow Jones| Nasdaq | US Stock Market Today | Live: US stocks ...
   6. Reuters — US Treasury yields are "screaming good value" says PIMCO senior advisor
   7. Bloomberg.com — Traders Reload Bets on Ever Higher Bond Yields After Brief Jolt
   8. CNBC — Stocks are hitting records despite surging yields. Cramer explains why
   9. Investing.com — U.S. 10-year yield climb revives dotcom-era parallels
   10. Barron's — Stocks Are Ignoring the Bond Market Warning at Their Peril
   11. Reason Magazine — The Bond Market Doesn't Trust the Treasury
   12. coinpaper.com — PIMCO Says U.S. Treasuries Are “Screaming Good Value” After 24-Year Yield High
   confidence 95%