Long Bonds Are Enthralling Traders From the U.S. to France
- France sees record 50-year bids; equivalent Treasury in focus
- Bond ‘convexity’ is buoying long-dated debt demand, BI says
Photographer: Christophe Morin/Bloomberg
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In a world awash with money, long-dated debt is where all the action is for bond traders these days.
In Europe, investors looking to escape a sea of negative yields are snapping up some of the longest-maturity debt on offer in an attempt to park their money in assets that still provide some sort of return. In the U.S., they’re selling long bonds amid a looming torrent of government spending, as they assess the likelihood of the first-ever Treasury beyond 30 years.