Structural drivers point to higher long-term bond yields — no matter what the Fed does, says this strategist.

Core Viewpoint - Gavekal recommends a barbell strategy for bond investments, suggesting a combination of 2-year and 30-year debt while avoiding the intermediate maturities known as the "belly" of the curve [1] Group 1 - The barbell approach allows investors to balance risk and return by holding both short-term and long-term bonds [1] - This strategy is designed to mitigate interest rate risk while capturing yield from both ends of the maturity spectrum [1] - The recommendation reflects a broader market sentiment regarding the current economic environment and interest rate outlook [1]