DoubleLine: Rising US Treasury yields will help the Federal Reserve to maintain interest rates unchanged.

DoubleLine is increasing its allocation to short-term government bonds, citing the belief that Federal Reserve Chairman Kevin Wash's credibility among investors will help the central bank maintain interest rates this year. Bill Campbell, the global sovereign debt and emerging markets portfolio manager at the company, stated that high yields on U.S. government bonds are raising borrowing costs, and if data continues to show a slowing inflation trend, it could prompt the Federal Reserve to keep interest rates unchanged.