BlackRock CEO predicts 10-year Treasury yields may exceed 5% amid inflation By

© Reuters.

BlackRock Inc (NYSE:).’s CEO Larry Fink, while addressing the Berlin Global Dialogue forum on Friday, projected that 10-year Treasury yields could surpass 5% due to sustained inflation resulting from geopolitical shifts and supply chain disruptions. This perspective aligns with those of other Wall Street heavyweights including Jamie Dimon and Bill Ackman.

The most recent surge in Treasury yields to 4.68%, a level not witnessed since 2007, was propelled by a series of aggressive rate hikes by the Federal Reserve. Other contributing factors include increased US borrowing to cover budget deficits, a downgrade by Fitch Ratings, and rising oil prices. Policymakers’ dedication to maintaining high rates also played a significant role.

Despite the current economic climate, Fink downplayed concerns over a return to the double-digit price growth experienced in the 1970s. He also hinted at potential deals that could reshape BlackRock at its 70th anniversary.

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