NEW YORK - U.S. bond fund managers are betting that the steep gains in Treasuries over the last month are here to stay.
The near $16-trillion sector produced a total return of 2.35% in May, its strongest monthly showing since August 2011, according to an index compiled by Bloomberg and Barclays. Long-dated Treasuries generated a stellar 6.7% return, their juiciest performance since January 2015. Bob Miller, a portfolio manager and head of U.S. multi-sector fixed income at BlackRock, said he expects the Fed to cut interest rates by 50 basis points by the end of this year because of slowing global economic growth.
A prolonged rally in bonds could mean the end of the bull market in equities, which had sent the benchmark S&P 500 index up as much as 16% for the year-to-date in April and continued to push Treasury yields lower. FILE PHOTO: A street sign is seen in front of the New York Stock Exchange on Wall Street in New York, February 10, 2009. REUTERS/Eric Thayer/File Photo
Mueller's 9 minute fake statement dropped DOW 500pts.. Democrats are grateful to drop the market any chance they get. Mueller needs to go to a rehab for alcohol addiction