LONDON, Oct 6 (Reuters) – U.S. Treasury yields are good value after a recent surge that has seen borrowing costs rise to their highest levels in years, Rupert Harrison, senior advisor, portfolio management at bond fund PIMCO said on Tuesday.
Ten- and 30-year Treasury yields have hit fresh 24-year highs this week, pushed higher by a combination of worries about inflation and high fiscal deficits.
“When you have seen this run up in yields, this is screaming good value to us,” Harrison said during a panel at a TS Lombard event in London.
He added that PIMCO had exposure to duration, noting that bond markets held value in the event of a selloff in tech stocks and any future slowdown in the economy.
(Reporting by Dhara Ranasinghe and Marc Jones)
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