DoubleLine's Sherman remains bearish on long-term US Treasuries

DoubleLine Capital deputy chief investment officer Jeff Sherman stated that he remains bearish on long-term US Treasuries due to heavy government borrowing and weakening overseas demand.

Sherman criticized Treasury Secretary Scott Bessent's aggressive efforts to talk down yields, arguing that investors require confidence rather than dismissive rhetoric.

In the credit market, Sherman noted that DoubleLine has begun to nibble at debt in artificial intelligence hyperscalers and neoclouds following recent selloffs offering yields of 12 to 15 percent.