Is It Time to Buy U.S. Treasuries on the Dip?

Moomoo News Global02:52 ET

Did Trump's "surrender" have a lot to do with the "U.S. debt vigilantes"?

Under the strong pressure of US Treasury yields soaring to 5%, the "Bond vigilantes" successfully "forced a halt" to Trump's tariff policy. Trump admitted: "The bond market is very tricky, I have been monitoring it." Ed Yardeni stated that this is yet another victory for the "Bond vigilantes."

wallstreetcn03:00 ET

Trump's 'war' with the Federal Reserve has permanently damaged the credit of U.S. bonds.

Concerns about the independence of the Federal Reserve have led investors to intensify the selling of U.S. Treasuries, questioning the credibility of Treasuries as a safe-haven asset. Analysts point out that if the Federal Reserve shifts to a more lenient stance on inflation as Trump desires, or if Trump prematurely nominates a 'shadow chairman' to intervene in monetary policy, the Treasury market will decline further.

wallstreetcn02:24 ET

U.S. Quarterly Refunding Meeting Could Be Positive for Issuance Outlook -- Market Talk

WSJ02:18 ET

New Federal Reserve News Agency: Trump has made it "harder" for the next Federal Reserve chairman.

The market worries that Trump's public belittling and pressure on Powell will leave an indelible "original sin" for Powell's successor. Regardless of who the next chairman is, the independence of the Federal Reserve will be in question. An independent central bank is often seen as more objective and professional, making its decisions more likely to guide market expectations and stabilize the economy. Since President Clinton's era, most U.S. presidents have adopted a stance of "non-interference" with the Federal Reserve.

wallstreetcn23:20 ET

Regarding interest rate cuts! Several Federal Reserve officials have spoken out, with possible action as early as June.

① On Thursday local time, Cleveland Fed President Loretta Mester ruled out the possibility of a Federal Reserve rate cut in May but hinted at a possible cut in June; ② On the same day, several Federal Reserve officials publicly discussed the matter of rate cuts. Federal Reserve Governor Christopher Waller also stated that he would support a Federal Reserve rate cut if there is a significant rise in the unemployment rate.

cls.cn21:39 ET