Bloomberg Daybreak: Asia Edition · Sep 28, 2026
With Julia Wang, North Asia Chief Investment Officer at Nomura International Wealth Management
Julia Wang said the level of 10-, 20- and 30-year yields suggests markets think US short-term rates can rise quite a bit further, possibly back to where they were in 2024.
Oil rose after President Trump rejected Iran's proposal to reopen the Strait of Hormuz, and investors were betting on more Fed tightening. Asked when an inflation problem turns into a growth problem, Wang said the US economy is not yet showing cracks.
"But I think we're still a few good rate hikes away from being in that position."
Julia Wang, North Asia Chief Investment Officer at Nomura International Wealth Management, on Bloomberg Daybreak: Asia Edition, in a Bloomberg TV interview the podcast carried. She covered US rates, equities, Japan's bond market and the US-China trade truce.
The full segment is covered here so you can skip it.
Here are the 4 calls that matter.
Key Takeaways
The US economy shows no sign of cracking under the Fed's hikes so far
Consumer spending, AI capital spending and loose fiscal policy are all holding up
Long-term bond yields have not settled, and she said structural factors drive most of the rise
Smaller or highly valued stocks could already be at risk from higher yields
A Fed-driven rise in yields is the bigger danger for equities than a market-driven one
The 2-month US-China trade truce pushes the hard issues past the midterms
1. No Recession Signal Yet
The show opened on oil, which rose after President Trump rejected Iran's proposal to reopen the Strait of Hormuz. The host said higher energy prices were adding to inflation pressure and supporting bets on further Fed rate increases. The interviewer asked at what point the inflation concern becomes a growth concern.
She sees no economic crack in the US
"I think at this particular moment, we're not really seeing a sign of economic crack really coming through in the U.S." — Julia Wang
Wang said consumer spending has been resilient despite split sentiment, and the boom in AI-driven capital spending appears to be continuing. She said it was not clear to her that one or two more rate hikes would push the economy into recession.
Long-dated yields point to higher short-term rates
"In fact, I think if we anchor off where 10 years and even 20, 30 years are at the moment, That suggests to me that the market thinks that the front-end rates can actually rise quite a bit" — Julia Wang
She said the point where investors start to think rates have risen too much, and the yield curve inverts to signal it, is still some way off.
"But I think we're still a few good rate hikes away from being in that position." — Julia Wang
