JPMorgan Sees $1 Trillion Demand Boost for Global Bonds in 2023
- Balance between bond demand and supply will improve: JPMorgan
- Bloomberg global debt index has gained more than 5% this month
This article is for subscribers only.
The worst may soon be behind global bonds, with supply set to shrink faster than demand, according to JPMorgan Chase & Co.
The key driver will be estimated reduction of $1.6 trillion in global bond supply, outpacing an estimated deterioration of about $700 billion in demand, strategists led by Nikolaos Panigirtzoglou in London wrote in a research note Thursday. That decline in demand will be a major improvement from the $5.9 trillion slide last year, they said.