Nomura sees Treasury rally ahead on rising growth fears ...Middle East

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Nomura sees Treasury rally ahead on rising growth fears

Nomura expects U.S. Treasuries to benefit from growing concerns over a potential economic slowdown, with yields likely to decline further if the labour market begins to soften meaningfully.

In a note to clients, the bank said a resilient labour market would likely lead to only modest yield declines, but any signs of weakness could accelerate the downward move.

    The cautious tone reflects a broader market narrative that slower growth, rather than inflation, is increasingly the dominant driver of bond market direction.

    This article was written by Eamonn Sheridan at www.forexlive.com.

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