Pimco’s Stracke Says AI Spending Drove Yields, Not Inflation
Pimco President Christian Stracke stated that rising bond yields and real rates are driven by capital demand from the artificial intelligence sector. He argued that this spending, rather than inflation expectations, is the primary factor behind current market trends.
Surging capital demand from hyperscalers and the artificial intelligence ecosystem — rather than inflation expectations — is the primary force pushing real rates and bond yields higher, Pacific Investment Management Co. President Christian Stracke said.
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