Bank of America: If the U.S. long-term bond repurchase plan fails, risk assets will be under pressure

Bank of America strategist Hartnett stated that if the U.S. Treasury's plan to control long-term Treasury yields fails, the dollar will come under pressure and may trigger short-selling bets on risk assets before the midterm elections in November.

If Treasury Secretary Yellen cannot bring the 30-year yield down to below 5%, the dollar is expected to decline, and risk assets such as financial stocks and AI mega-cap companies will face short-selling risks.