UBS: Current bond yields are at a relatively high level.

Jin10 data reported on May 20, "Although we believe that the United States may avoid a full-blown recession this year, the slowing growth and a weak labor market may prompt the Federal Reserve to resume rate cuts in the coming months." The UBS Wealth Management Investment Director's Office stated on May 20 that the benchmark scenario is for the Federal Reserve to start cutting rates in September this year, with a total reduction of up to 75 basis points for the year. It noted that although the peak of pessimism caused by Trump’s trade policies may have passed, ongoing uncertainty could still exacerbate market fluctuations. Current bond yields are at relatively high levels, helping to seek sustainable income. Historically, as the holding period extends, the probability of bonds outperforming cash increases. Therefore, it maintains the view that high-rated and investment-grade bonds are "attractive" and expects such bonds to achieve mid-single-digit returns over the next 12 months.