Pacific Investment Management Co. (PIMCO) and JPMorgan Asset Management are identifying opportunities in US Treasuries following a selloff triggered by concerns over President Donald Trump’s tariff policies and their impact on economic growth. PIMCO is adding duration to its portfolios, viewing Treasuries as attractive after the recent market rout. However, signals from 2-year Treasury notes and Commodity Trading Advisor (CTA) flows indicate that the buying momentum may be fading as systematic buyers step in. JPMorgan Asset Management expects the Federal Reserve to cut interest rates more aggressively than the European Central Bank, with US rates projected to fall to 3.75% and the ECB deposit rate to 1.5%. Myles Bradshaw, head of global aggregate strategies at JPMorgan, said US rates are priced above their neutral rate and sees this as a source of opportunity. He also noted that President Trump’s tariffs are more likely to hurt growth than spur inflation. JPMorgan analysts argue that the recent market volatility attributed to a 'sell America' narrative and foreign investor retreat is overstated. They point to hedge fund activity as the primary driver of the selloff, observing that foreign selling of US equities and bonds has been modest and that recent Treasury auctions, including a five-year auction, have shown strong demand.