**[U.S. Treasury Yields Rise to Highest Levels Since 2002, Two Long-Term Bears Rarely Turn Bullish]** BlockBeats News, October 7: As U.S. long-term Treasury yields recently surged to their highest levels since 2002, two renowned strategists who have long been bearish on sovereign bonds have started to turn bullish. Anatole Kaletsky, co-founder of Gavekal Research, began favoring 10-year and 30-year U.S. Treasuries this week; Jim Bianco, founder of Bianco Research, also shifted to a positive outlook on long-term U.S. Treasuries last week, marking his first optimistic stance on this asset in six years. On Monday, the 10-year U.S. Treasury yield closed at approximately 5.31%, while the 30-year yield rose to 5.66%, both reaching their highest closing levels since 2002. Bianco believes that after sustained sell-offs, the current absolute yields of long-term U.S. Treasuries have become attractive. The $47 billion TLT fund had previously fallen for 10 consecutive trading days but still recorded a net inflow of approximately $5.3 billion this year. Kaletsky, who has advised avoiding government bonds from major developed economies since 2022, now believes U.S. interest rates may decline again in the future. Bianco, on the other hand, argues that if the economy weakens significantly or the stock market undergoes a major correction, long-term bonds could still offer hedging value. However, factors such as the U.S. fiscal deficit, Treasury supply, AI company financing needs, war expenditures, and rising energy prices may continue to push long-term yields higher. [Original Link]