In the next 12-18 months, the yield on 10-year U.S. Treasury bonds may reach 6%.

Jin10 data reported on May 8, T. Rowe Price Chief Information Officer Arif Husain stated in a report that the likelihood of passing a massive fiscal plan before the U.S. Congress’s summer recess is increasing. As the Trump administration has not fully resolved its tax cut agenda, fiscal expansion is expected to become the next overriding focus of the market. Fiscal expansion may support economic growth, but most importantly, it may place 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% within the next 12 to 18 months.