UBS: Federal Reserve Chairman Kevin Warsh's debut is hawkish, and market expectations for rate hikes are excessive

UBS pointed out that the first Federal Reserve interest rate meeting under Chairman Kevin Walsh sent hawkish signals, but the market's bets on rate hikes this year are overly aggressive. UBS expects the Federal Reserve to keep the federal funds rate unchanged at 3.50%-3.75% for the remainder of the year, and recommends investors increase allocations to short-duration and medium-duration high-quality bonds to lock in yields.