Snapback to higher bond yields? At least five years, strategists say

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Snapback to higher bond yields? At least five years, strategists say
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A return to significantly higher yields will take longer than previously thought...

BENGALURU - A return to significantly higher yields will take longer than previously thought, according to a Reuters poll of fixed-income strategists who slashed their year-ahead major government bond yield forecasts to the lowest since polling began 17 years ago.

And according to the Sept. 19-27 poll of over 100 strategists, that trend of subdued yields is here to stay. “While you can certainly get the risk premium priced-out on the political side, the economic and international side will continue to weigh.” “There are good odds by the end of next year that we break through the all-time low in U.S. 10 year Treasury yields which is roughly around 1.35%,” said Guy LeBas, chief fixed income strategist at Janney Montgomery Scott.

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