Goldman Sachs slashes US 10-year yield forecast to 1.7% - Bloomberg

Goldman Sachs has revised lower its year-end forecast for the US 10-year treasury yield to 1.75% from the previous projection of 2.80%, according to Bloomberg. 

As of writing, the benchmark yield is trading at 2.05%, representing 75 basis point drop on a year-to-date basis. 

Key points

• U.S. 10-year yields are seen rebounding somewhat to 1.90% by mid-2020
• Japan’s 10-year yields will breach the Bank of Japan’s tolerance zone by 10 basis points, hitting negative 0.3% by year-end
• German 10-year yields seen at negative 0.55% for year-end, versus 0.35% previously
• Ten-year gilts are forecast at 0.70% at year-end, against 1.85% before