[Besant's Mentor and Walsh's Close Friend Speaks Out: U.S. Treasury Yields 'Even a Bit Low,' Rate Cuts No Longer Necessary] BlockBeats News, September 11 — Legendary Wall Street investor Stanley Druckenmiller stated during a closed-door meeting in New York that current U.S. borrowing costs are 'even a bit low.' He also remarked that Federal Reserve officials who still view monetary policy as restrictive are 'simply laughable,' asserting that rate cuts are no longer necessary. Druckenmiller is a longtime mentor to U.S. Treasury Secretary Besant and a close friend of Federal Reserve Chair Walsh. Druckenmiller believes that considering the state of the U.S. economy, the surge in capital expenditures, and the competition for capital in the market, U.S. Treasury yields are not particularly high. He noted that the recent rise in yields is driven by a gradual process rooted in fundamentals, which does not concern him. His comments come as the 30-year U.S. Treasury yield briefly rose to 5.35%, marking its highest level since 2007, while the 10-year yield approached 5%. On the topic of artificial intelligence, Druckenmiller revealed that a significant portion of Duquesne Capital's recent profits came from AI investments, though its related positions have now been reduced to 20% of what they were six months ago. He believes the AI development phase may be nearing its later stages, urging the market to remain cautious. He also warned that corporate earnings might be caught in a bubble driven by the AI investment frenzy. Regarding foreign exchange, Druckenmiller expressed reluctance to short the U.S. dollar, citing America's clear global advantage in the AI sector. Since the beginning of the year, he has been shorting the euro and the pound, though these positions are much smaller compared to his previous currency bets. [Original Link]