Investors Decrease Long-dated Treasury Holdings Ahead of Fed Meeting on Inflation Concerns

Reported about 1 year ago

Bond investors are reducing exposure to longer-dated U.S. Treasuries in anticipation of the Federal Reserve's upcoming monetary policy meeting, where interest rates are expected to remain steady amidst persistent inflation pressures. Market participants are adjusting their expectations for policy easing in 2024, with a focus on inflation data releases and the Fed's updated economic projections. Meanwhile, investors are shifting towards shorter-term Treasury holdings given the yield-curve shape and the potential impact of future rate cuts by the Fed.

Source: YAHOO

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