Safe-haven demand lifts Treasuries as credit risks diverge: Why does JPMorgan still expect yields to rise slightly?
Pressure on European sovereign bonds and concerns over AI valuations are driving safe-haven demand for US Treasuries, but JPMorgan believes the 10-year yield is already about 15 basis points below its model-implied fair value. Credit market pressure is concentrated in major cloud providers and lower-rated bonds, while ABS and agency CMBS are relatively resilient.
J.P. Morgan ·