Higher U.S. Growth Could Hurt Long-Dated Bonds
The assumption of higher nominal growth in the U.S. over the coming quarters is generally a bearish signal for bonds, Julius Baer said, but it sees opportunities in the three- to seven-year maturities and keeping the the longer-dated, highest-quality bonds for hedging-related purposes in case of a U.S. recession.
The assumption of higher nominal growth in the U.S. over the coming quarters is generally a bearish signal for bonds, Julius Baer said, but it sees opportunities in the three- to seven-year maturities and keeping the the longer-dated, highest-quality bonds for hedging-related purposes in case of a U.S. recession.
