With the deluge of hyperscaler issuance just starting and long-end Treasury yields already under pressure, the 30-year Treasury offers better relative value than 30-year Alphabet debt, which faces crowding-out effects.
Fed rate hikes, persistent inflation, and massive supply from AI hyperscaler debt and sovereign issuance will push long-end Treasury yields substantially higher. Investors should steepen the curve: favor belly of the curve (intermediate maturities) and avoid long bonds.
Fed rate hikes, persistent inflation, and massive supply from AI hyperscaler debt and sovereign issuance will push long-end Treasury yields substantially higher. Investors should steepen the curve: favor belly of the curve (intermediate maturities) and avoid long bonds.