The year-t-date total return for the Morningstar US Core Bond TR USD index, which tracks U.S. dollar-denominated securities with maturities greater than one year, was 5.47% as of this week, up from about minus 13% last year.
As bonds emerge from a historic selloff, some investors expect better times in the U.S. fixed income market next year - as long as the Federal Reserve s rate cuts play out as anticipated.