JPMorgan Sees End to U.S. Treasury Bond Drop

JPMorgan Asset Management believes that U.S. Treasury bonds may have bottomed out, fueled by strong foreign investor interest and expectations of federal support for U.S. government debt, according to a report from Odaily. Bob Michele, the company’s Global Head of Fixed Income, expressed confidence in investing at these low prices and high yields. He pointed to conversations with overseas investors who are not deterred by U.S. Treasury bonds. 2001 witnessed the largest decline for U.S. Treasuries, largely attributed to President Trump’s tariffs and unpredictable policy-making, which reduced demand for long-term safe-haven assets. However, Michele highlights recent data suggesting that foreign central banks and reserve institutions have increased their holdings of U.S. Treasury securities. Notably, Fed official Collins emphasized the Federal Reserve’s readiness to intervene if markets become turbulent, promising support for stability during uncertain times.