Citigroup rates strategists said in a note they slightly raised their year‑end
10‑year US Treasury yield forecast to 3.9% from 3.75% after the Fed’s hawkish
stance at the June meeting. They keep a medium‑term bullish view on US
Treasureries, arguing recent Middle East conflict is unlikely to feed through to
core inflation and that the balance of risks points to a weakening, not
strengthening, labor market.
