Group 1 - The core viewpoint is that DoubleLine Capital, managed by "bond king" Jeffrey Gundlach, is concerned about the expanding federal budget deficit and increasing debt burden in the U.S. [1] - The company is avoiding the longest-term U.S. Treasury bonds and favoring shorter-term bonds that offer lower interest rate risk while still providing substantial returns [1] - This shift in investment strategy is shared by several investment firms, including PIMCO and TCW Group Inc., and has performed well this year due to increased government spending globally undermining confidence in long-term bonds [1] Group 2 - In May, the U.S. lost its highest credit rating from Moody's, further contributing to the concerns regarding long-term bonds [1]