Why Long Bonds Are Falling Out of Favor

Jamie Dimon drew varied reactions with his prediction that the bond market is going to “crack” if the US government doesn’t get a grip on a ballooning federal deficit.

Treasury Secretary Scott Bessent said the JPMorgan Chase & Co. boss had offered many such warnings during his career, and “fortunately, none of them have come true.” To some seasoned observers, Dimon’s comment was a signal to his own staff to avoid getting burnt by taking too many risks on bonds.