Opinion: Damage to Fed independence poses significant risks to the dollar and U.S. debt

Launching his investment outlook for 2026, Vincent Mortier, chief investment officer, said political pressures could shape the Fed's decision-making next year, posing a significant risk to the dollar and US Treasuries. Orient's main bullish targets include fixed income, high-quality credit and inflation-fighting assets. The rally in emerging market equities is expected to continue, fuelled by a weaker dollar and stronger growth in emerging market economies. Orient expects 10-year Treasury yields to remain around 4 per cent. The same durations are more bullish in Europe, Japan and the UK. The European Central Bank is expected to cut interest rates twice next year, while the market consensus is expected to hold back.