Reported about 18 hours ago
Morgan Stanley's Jim Caron believes that the recent panic in the bond market is exaggerated and is being influenced by inexperienced investors. He argues that concerns regarding the U.S. budget deficit are not new and shouldn't undermine the perception of U.S. Treasury bonds as low-risk investments. Despite fears following tariff implications and a recent credit rating downgrade, Caron views the prevailing market hysteria as unwarranted, citing improvements in the deficit's proportion to GDP. He downplays claims that the U.S. is losing its financial status, citing a lack of evidence in market behavior.
Source: YAHOO