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A Quick Look At Potential Quarter-End Flows

CROSS ASSET

Following on from previous colour re: month-end, this month-end will also see quarter-end real money rebalancing flows (although those flows are far more dynamic on the timing front than they used to be). A week or so ago J.P.Morgan estimated that the potential equity selling surrounding month/quarter-end by balanced mutual funds, U.S. defined benefit pension funds and Norges Bank/GPIF/SNB could total ~$150bn, with a similar amount of corresponding bond buying expected.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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