U.S. Treasury Yields Remain Stable Amid Political Uncertainty

Analysts from UniCredit Bank's Investment Research Institute have highlighted in a report that despite the uncertain U.S. political climate, Treasury yields have remained relatively stable. According to Odaily, this stability reflects investors' continued preference for U.S. Treasuries. The market widely anticipates further interest rate cuts by the Federal Reserve, which could enhance the performance of U.S. Treasuries. Additionally, the resilience of the U.S. economy has increased the attractiveness of its assets. While foreign investors might reduce their investment in U.S. assets in the medium to long term, the likelihood of a large-scale sell-off in the short term is low.