BlackRock says these bonds have attractive yields — and can help insulate from AI disruption

There is still solid income to be had in bonds these days, but investors may also want to focus on those that are tied to the real economy, according to BlackRock's recent spring outlook. While stocks rose and bond yields held steady on Friday to start the new month and new quarter, the market has been rocked by volatility this year. The Iran war and concerns about inflation, as well as fears over artificial-intelligence disruption, have weighed on investors. The 10-year Treasury had dipped below 4% just before the start of the Mideast conflict but is now closer to 4.35%. "We see increasing value in 'HALO' assets (Heavy Assets, Low Obsolescence), which favor tangible assets that may be less subject to AI disruption," wrote Gargi Chaudhuri, BlackRock's chief investment and portfolio strategist, Americas. For instance, the concern surrounding energy security has ramped up over the past two months. While it had already been a focus of attention due to AI needs, the jump in oil prices has escalated those worries, Chaudhuri said in a follow up interview with CNBC. West Texas Intermediate oil traded close to $102 per barrel on Friday. Yet HALO is just one component to consider, she noted. "We're not telling you just to own it because of the HALO," Chaudhuri said. …