Faxing Bank: The Federal Reserve will continue to cut interest rates, leading to a decrease in short-term interest rates, while tariffs and fiscal deficits will push up long-term interest rates

According to BlockBeats, on November 30th, Societe Generale Bank predicted that by the end of 2025, the yield on 10-year US Treasury bonds would rise to 4.5%, while the yield on 2-year US Treasury bonds would drop to 3.5%. The reason is that the Federal Reserve will continue to cut interest rates, which will reduce short-term interest rates, but will also increase the demand for long-term treasury bond bonds by stimulating the economy and increasing fiscal deficits, leading to an increase in long-term yields. In addition, Trump's tariff plan may push up inflation expectations, and the US government is expected to increase the issuance of treasury bond in order to deal with the fiscal deficit, which will push up the yield. (Golden Ten)