This column was originally published on RealMoney on March 13 at 1:30 p.m. EST. It's being republished as a bonus for TheStreet.com readers.Higher U.S. Treasury yields could prevent investment banks from reaching new highs despite a surge in initial public offerings and mergers and acquisitions. I recommend booking profits. According to Thomson Financial, as many as 300 new companies could go public this year. M&A activity appears to be heating up, with Monday morning's offer by Capital One Financial ( COF) for North Fork Bancorp ( NFB) and last week's deal between AT&T ( T) and BellSouth ( BLS) the latest highlights. More deals are widely expected in all sectors. The finance sector ended last week 6.2% overvalued; investment banks were 17.5% overvalued. One of my reasons for caution in these sectors is higher U.S. Treasury yields, which reached the 4.80% area across the coupon curve last week, within 5 basis points of monthly support on the 10-year at 4.853% and 4.798% on the 30-year. Yields should move even higher. The Federal Reserve is expected to raise the funds rate to 4.75% on March 28. Most economists now project a funds rate north of 5.00% -- the FOMC could hit that on May 10.