J.P.Morgan Clients Marginally Less Long EGBs

J.P.Morgan have released their latest survey covering European real-money fixed income investors, with the following takeaways outlined:

• Multi-currency European real money investors in EGBs maintained their duration exposure (+0.09 years). This level remains above the average observed since the beginning of ‘23 (+0.02 years).
• Single-currency European real money investors in EGBs slightly decreased their long duration exposure (from +0.40 to +0.36 years). This remains well above the average observed since the beginning of ‘23.
• Investors remain broadly neutral on intra-EMU exposure (moving from 2% net short to 1% net long). This level remains well below the average observed since early ‘21 (average of 17% net long).
• European multi-currency investors slightly decreased their duration exposure in USD (from +0.14 to +0.13 years).
• In the UK, single-currency investors in GBP maintained their long duration exposure (levelling off at +0.38 years). This level remains above the average observed since the beginning of the year (+0.24 years).
• Note that all duration deviations are relative to the relevant benchmark and are given in years.