The U.S. Federal Reserve will likely raise rate at least twice in 2019 against a backdrop of continued economic strength as opposed to "misguided" market assumptions of no hikes this year, according to Franklin Templeton's head of bonds.

"I would still anticipate that it will deliver at least two more rate hikes this year. I believe that the market’s assumption that the Fed will not raise interest rates at all this year is very misguided, against a background of continued economic strength," said Sonal Desai, chief investment officer for the Fixed Income Group at Franklin Templeton.