JPM Survey Sees General Increase In Outright Duration, Peripheral Overweight Trimmed

J.P.Morgan’s latest European client survey revealed the following:

• “European real money investors in EGBs increased their long duration exposure (from +0.14 to +0.21 years). This level remains above the average observed since the beginning of 2021 (+0.05 years).”
• “Single-currency European real money investors in EGBs increased their long duration exposure (from +0.47 to +0.50 years). This level remains significantly higher than the average observed since early 2020 (+0.35 years).
• “Investors slightly decreased their overweight intra-EMU periphery exposure since last survey (from 5% to 2% net long). This level remains above the average long observed since the beginning of 2022 (average of 3% net short).”
• “European multi-currency investors increased their long duration exposure in USD (from +0.10 to +0.18 years).”
• “In the UK, single-currency investors in GBPs increased their long duration exposure (from +0.23 to +0.36 years). This level is now above the average observed since the beginning of 2023 (+0.26 years).”
• Note that all duration deviations are relative to the relevant benchmark and are given in years.