Only a handful of funds hold most of the short positions in Treasury futures.
The market has turned against investors who piled into Treasurys last year.
Fundraising could rise from $75 billion in 2023 to $100 billion this year, according to Robert A. Stanger & Co.
Housing, insurance and commodity prices have been among the contributors.
Banks are under increased pressure from consumers to pay out more for deposits.
Federal Reserve Chair Jerome Powell pointed to the lack of additional progress made on inflation.
Global economic activity will expand 3.2% this year, the financial institution said.
The economist said that the likelihood of the Fed hiking interest rates is low, but not zero.
The firm is betting on a half-point cut in June and 150 basis points of easing by the end of the year.
UBS strategists see a growing possibility that inflation fails to decline to the Fed's target.
Strategists say deals can be found in certain types of Build America Bonds.
Many bond investors have been caught wrong-footed this year over inflation.
The push for ETF rule changes has heated up to the point that even major stock exchanges are getting involved.
Yields on two- to 10-year notes tumbled as much as 10 basis points at one stage.
Confidence for a relatively shallow drawdown is supported by broad market breadth, cyclical leadership trends and economic resiliency.
The investment company is forecasting that inflation will finish the year at about 3.5%.
About one-fifth of U.S. homeowners have a mortgage with less than 3% interest.
With stocks and bonds moving increasingly in tandem, investors have been forced elsewhere for protection.
Fed President John Williams said he expects “bumps along the way” in the effort to rein in inflation.
Global yields rose today as markets adjusted to central banks keeping interest rates higher for longer.