Lates News

Infrastructure Capital Advisors is bullish on the U.S. 10-year Treasury, citing expectations that the Federal Reserve will raise rates only once more. The firm's CEO and portfolio manager noted in a report that one more rate hike would be consistent with the Fed's "dot plot" (i.e., policymakers' interest rate projections) and less than what the market is currently pricing in. He said: "The U.S. 10-year Treasury yield is typically 100 basis points above the Fed's terminal federal funds rate, so we expect the U.S. 10-year Treasury yield to stabilize around 5% as weak housing data and sluggish core CPI data prompt the Fed to pause rate hikes."