Goldman Sachs: The sell-off in the interest rate market is seen as an opportunity to increase duration and maintain long positions.

In a report, Kay Haigh and Whitney Watson of Goldman Sachs Asset Management stated that although there is high uncertainty in geopolitical trends, the recent increase in bond yields due to the Middle East conflict seems disproportionate compared to changes in energy prices. The two Co-Chief Investment Officers and Co-Heads of Fixed Income and Liquidity Solutions suggested that this may be creating opportunities to increase duration or maintain overweight positions. They added that the duration and intensity of the Middle East conflict remain key factors in determining the near-term path of monetary policy.