In the Next 12-18 Months, the 10-Year U.S. Treasury Yield May Reach 6%

T. Rowe Price Chief Information Officer Arif Husain stated in a report that the likelihood of passing a large-scale fiscal plan before the U.S. Congress's summer recess is increasing. As the Trump administration has not fully addressed its tax reduction agenda, fiscal expansion is expected to become the next overwhelming focus for the market. Fiscal expansion may support economic growth, but most importantly, it could put greater pressure on the U.S. Treasury market. Rising inflation and further global fiscal expansion are unfavorable for U.S. Treasuries, and the 10-year Treasury yield is expected to reach 6% in the next 12 to 18 months.