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J.P.Morgan Remain Neutral On Duration For Now

US TSYS

J.P.Morgan note that “looking ahead, with the Fed likely to hike rates another 175bp by early next year, we think yields should move higher over coming months, especially against a weak demand backdrop. However, with Treasuries currently close to our fair value estimates, liquidity extremely poor, and near-term growth risks elevated, we remain neutral on duration for now. Next week, we expect markets will be closely watching the release of the FOMC meeting minutes on Wednesday and the June employment report on Friday for a better signal on the near-term path of policy.”

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

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